Appreciation is an increase in an asset’s value, usually due to inflation or other external economic factors (the opposite of depreciation).
In more common parlance, appreciation may also be recognition or understanding of the value or significance of a person or thing.
[Last reviewed in June of 2021 by the Wex Definitions Team]
ARM stands for ‘adjustable-rate mortgage,' which is a type of home loan that has a fixed interest rate for an initial period of time then after a certain point, the rate changes, which means it is no longer a fixed interest rate but rather the interest fluctuates during the life of the loan, based on the change or move
Arrearages broadly refer to being in arrears or owing a debt. There are two main uses of the term. One refers to payments in arrears that are meant to occur after they are owed, such as wages paid a week after time is entered or for invoices. Arrearage can also mean a person or business behind on paying bills, debts, or other obligations.
Arrears are accumulated debts that have not yet been paid upon the due date. For instance, if someone falls $5000 behind in paying for their mortgage, then they have built up $5000 in arrears.
See also: arrearages.
Assignment for the benefit of the creditors (ABC) (also known as general assignment for the benefit of the creditors) is a voluntary alternative to formal bankruptcy proceedings that transfers all of the assets from a debtor to a trust for liquidating and distributing its assets.
An assumption is an assertion or statement that is taken as true or supposed as a fact without proof or substantiating evidence. An assumption may also be the act of taking over (another individual or entity’s) duty or responsibility.
[Last reviewed in June of 2021 by the Wex Definitions Team]
Attached property is property that has been seized pursuant to a court order, either as a provisional pre-judgment remedy or for the enforcement of a final judgment. Property may be attached only after the commencement of a lawsuit. In a pre-judgment request that property be attached, the movant must generally demonstrate a substantial risk of a future potential judgment’s lack of enforceability.
An attachment is a court order seizing specific property. Attachment is used both as a pre-trial provisional remedy and to enforce a final judgment.
An audit (noun) is a formal examination and verification of an individual’s or organization’s records and accounts, finances, or compliance with a set of standards.
To audit (verb) is the act of conducting formal examination and verification.
[Last reviewed in June of 2021 by the Wex Definitions Team]
