Glossary

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Prefunding Account

A Prefunding Account is required to pay in advance for transactions processed by a bank or an e-money institution. It is most commonly used for managing international money transfers instantly or with very little delay. When a user sends money from one country to...

Deferred Net Settlement

Net settlement is the daily resolution of all of the transactions that have taken place on a given day. Most financial institutions will undertake this on a daily basis, to settle all of the outstanding debits and credits that were entered into the system. Deferred...

Clearing

In banking terms, clearing refers to the process of settling all transactions between financial institutions. Clearing is a way of simplifying the arduous task of settling millions of transactions on any given day. It ensures that both sides of the transaction are...

Authorised EMoney Institution

An Authorised EMoney Institution or otherwise known as an AEMI, is a type of financial institution authorised to issue e-money. AEMI’s are quite limited in the services they can provide to their customers. An AEMI can only provide payment services as well as hold...

Platform Business Model

Platform Business Model is used to describe a company that is able to profit off of a platform where different groups (consumers and producers) interact with each other. Platform businesses do not need to manage supply chains and logistics like linear businesses and...

Anti-Money Laundering (AML)

AML is a commonly used acronym in the financial industry for Anti-Money Laundering. It refers specifically to the set of rules and regulations that governing bodies implement to prevent money laundering in the financial and business sectors. Almost every country has...

Know Your Customer/Client (KYC)

KYC, Know Your Client (or Customer) is a standard guideline for the financial industry service providers in any business relationship. It is essentially a checklist to ensure that they have confirmed their client’s identity as well as any ongoing risks with...

Alternative Payment Methods (APM)

APMs or Alternative Payment Methods are defined as any form of payment other than cash or major card networks such as Mastercard, Visa, etc. The most popular alternative payment methods are prepaid cards, digital wallets, mobile payments, and BNPL (Buy Now Pay Later)...

Competition and Markets Authority

The Competition and Markets Authority, or CMA, is the governing body for improving competition amongst businesses and reducing anti-competitive behavior in the UK. While it is operated by the UK government, it is a non-ministerial department which is often a...

Designated Client Accounts

In traditional banking terms, a designated client account allows one to hold their client’s funds across separate accounts. It is of great utility to businesses who routinely hold money for their clients, including lawyers, real estate firms, and accountants....

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European Merchant Bank UAB is licensed by European Central Bank (License No. 3)
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2020 Copyright © European Merchant Bank UAB. All rights reserved.
European Merchant Bank UAB is licensed by European Central Bank (License No. 3)
Swift BIC: EUEBLT22
Bloomberg Dealing Code: EUEB