Purpose credit

Purpose credit

Credit used for the purpose of buying, carrying or trading in securities.

Purpose Credit

Money that an investor may borrow from a broker in order to buy securities. Purpose credit is secured by cash and/or securities in a margin account. An investor who buys with purpose credit can realize huge gains if the price of the security moves in a favorable direction; however, he/she also takes on a great deal of risk because it may not move in such a direction. Purpose credit is also called a margin loan. See also: minimum maintenance, margin call, nonpurpose loan.
References in periodicals archive ?
As Chief Operating Officer, Evan will assume the responsibility for the Technology and Servicing Operations, in addition to his current responsibilities overseeing the General Purpose Credit Card business.
In his new role, Bryman will be responsible for the Technology and Servicing Operations, in addition to his current responsibilities overseeing the General Purpose Credit Card business.
For example, special purpose credit card banks can't accept deposits under $100,000 and special purpose trust banks don't have access to the Federal Reserve discount window.
top-six player in the US general purpose credit card market; ongoing
In the fourth scenario, and perhaps the most common, a consumer purchases goods from a merchant using a general purpose credit card or other open-ended credit plan where the merchant has no referral relationship with the credit card issuer.
CONSUMERS HAVE BECOME EXTREMELY CREDIT CONSCIOUS, steering away from the use of general purpose credit cards, according to a new report from Mercator Advisory Group, Boston.
Based on current spending data, it's clear that US consumers have become extremely credit conscious, steering away from the use of general purpose credit cards.
The second bit of news is more ambiguous: The credit reporting agency TransUnion said the number of people using general purpose credit cards fell by more than 11 percent in the third quarter (July to September) compared with the same period a year ago.
Analysis by credit reporting agency TransUnion found that use of general purpose credit cards bearing MasterCard or Visa logos, or issued by Discover or American Express, fell more than 11 per cent in the third quarter, compared with the July to September period last year.
Number of general purpose credit cards in circulation in the U.
Issuance of "ORIX JCB Credit Card (tentative name)" Corporate Purpose Credit Card.
Visa represents more than half of the general purpose credit card dollars spent at supermarkets.