Online Loan Glossary
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National Insurance: A form of tax on salary which funds state benefits.

National Savings & Investments: The government savings scheme.

Negative Amortization: Amortization means that monthly payments are large enough to pay the interest and reduce the principal on your mortgage. Negative amortization occurs when the monthly payments do not cover all the interest cost. The interest cost that isn’t covered is added to the unpaid principal balance. This means that even after making many payments, you could owe more than you did at the beginning of the loan. Negative amortization can occur when an ARM has a payment cap that results in monthly payments not high enough to cover the interest due.

Negative Equity: You are considered to be in negative equity if the money you owe on your mortgage is greater than the value of your property.

Net Interest: Interest earned once basic level tax has been deducted.

Notice Accounts: These accounts require notice to be given to withdraw funds to avoid any penalty, such as loss of interest.