Difference Between Collateral and Mortgage

Collateral vs Mortgage   Mortgages and collateral are terms that are closely related to one another and are constantly referred to when discussing loans and lending. Collateral acts as an insurance policy for lenders which can be sold to recover losses when a borrower defaults on their loan. Mortgage is a loan that uses a […]

Difference Between Bankruptcy and Foreclosure

Bankruptcy vs Foreclosure   An individual burdened with higher debt levels and a shortage of funds to repay debts maybe faced with bankruptcy or foreclosure. They are different from each other, because the implications to the defaulting party of either are very different. However, many people get easily confused with the two terms and mistakenly […]

Difference Between Banking and Investment Banking

Banking vs Investment Banking Banking is one of the most closely regulated sectors in an economy that is also largely responsible for the country’s financial health and economic growth. Banking over the years has evolved to suit different purposes, and investment banking is one such formation to suit investment purposes. Before the Glass-Steagall Act banks […]

Difference Between Equity and Debt Financing

Equity vs Debt Financing Any firm, planning of starting up a new business or expanding into new business ventures, require adequate capital to do so. This is the point at which the company’s top managers are faced with a decision on their hands, as to whether they should go forward and obtain equity capital or […]

Difference Between Debenture and Loan

Debenture vs Loan When a company needs a large amount of money for its expansion, there are many ways to raise capital for the purpose. One of these financial tools is called debentures. This is a way of inviting general public to subscribe to its offer of attractive rates of interest on the certificates issued […]