How_Money_Works_-_The_Facts_Visually_Explained

198 199 PERSONAL FINANCE Pensions and retirement PENSION CONTRIBUTIONS Calculations by a British consumer association reveal tha ...

SAVING AND INVESTING FOR A PENSION Defined benefit vs defined contribution Company pension plans that promise a fixed monthly pe ...

200 201 PERSONAL FINANCE Pensions and retirement Pension fund management Poor decisions by the pension fund managers can lead t ...

Cash lump sum How it works There are two main options for turning pension savings into income. The first involves buying an insu ...

202 203 PERSONAL FINANCE Pensions and retirement Annuities HOW TO CONSOLIDATE PENSIONS Most people will have paid into different ...

Debt This is an amount of money borrowed by one party from other parties. Borrowing is the way in which corporations and individ ...

204 205 PERSONAL FINANCE Debt $12. 29 trillion the debt owed by US consumers at the end of July 2016 Statement Big Bank CREDIT $ ...

Why we use debt How it works Countries, companies, and individuals all use debt in order to function. Debt can be a useful way o ...

206 207 PERSONAL FINANCE Debt INTEREST AND BANKRUPTCY Interest This is the cost paid to borrow money. It is expressed as a perce ...

Interest and compound interest The snowball effect If a snowball is rolled down a hill, it gets bigger and bigger as it gathers ...

208 209 PERSONAL FINANCE Debt How it works Interest is the cost of borrowing money, for example from a bank, and it is calculate ...

Loans How it works Loans allow individuals to borrow a lump sum to use in the short term, which they then repay in installments ...

210 211 PERSONAL FINANCE Debt Loan agreement Abank REPAYMENT The Borrower will repay the amount of this loan in 60 equal contin ...

Mortgages Mortgage types Different countries have different types of mortgage, and different rules governing their issue. The am ...

212 213 PERSONAL FINANCE Debt Interest-only mortgage Reverse mortgages ❯❯Loan-to-value ratio (LTV) Percentage of a property’s va ...

MORTGAGES Mortgage rates Banks offer a range of mortgages with different interest rates, each of which offers a different ratio ...

214 215 PERSONAL FINANCE Debt SUBPRIME MORTGAGES AND CREDIT CRUNCH Mortgage deal 2 Tracker mortgages ❯❯Available in the UK, this ...

Credit unions Not-for-profit Credit unions are owned by their members (customers), who each have one vote to elect a board of di ...

216 217 PERSONAL FINANCE Debt ❯❯Loan rates and terms may be attractive compared to loans, but rates and terms can get high for t ...

Credit cards Minimum repayments Unlike loan and mortgage borrowers, credit card users can choose how much over and above the pre ...