Acceptance of payment cards in shops allows goods or services to be paid by a payment card via a payment terminal or an imprinter. Payment cards of the largest card companies issued by any bank in the Czech Republic or abroad are accepted.

Means accepting payment cards of the largest card assoctions through payment gateway.

Bonds are normally bought exactly one period before the first coupon payment. This results in two problems. This affects the discount period in the case of each cash flow and this represents a daily problem of "accrual" of interest for the bondholder.

The buyer of a bond therefore pays the agreed price of the bond plus the accrued interest or the aliquot interest return.

Financial markets should operate in such a way as to allocate savings to the most productive companies, i.e. so that they are allocated effectively. Such opportunities are attractive for individual investors, as they lead to maximum profit at minimum risk.

If the managers of a financial institution invest creditors funds into companies with a low yield or a high rate of risk, then investors re-invest their funds, increase the price that they demand for the funds (i.e. increase the interest rates) or limit the investments made by the financial institutions into certain companies on their behalf.

American depositary receipts (ADR) are part of the GDR group. They are traded only on stock exchanges in the US.

ADRs were the first to originate, with the term GDR being used when the receipts began to be traded outside the US.

Their popularity among US investors is based on the fact that trading with ADRs is conducted in the same manner as trading with US shares. Trade settlement is also conducted pursuant to US regulations.

The term annuity (from the Latin annuus – annual) is a constant stream of fixed payments over a contractually specified period of time.

These payments comprise the principal and interest..Their amount remains unchanged in the elected period; only the ratio of the payment (annuity) and interest changes steadily, with the ratio of interest to the paid principal is higher in the beginning. At the end of the period, this ratio falls.

Appraisal of a real-estate made out by a contractual appraiser of the bank, which assesses the market value.

Annual percentage rate – total costs of a consumer loan for consumers expressed as the annual percentage from the total consumer loan amount.

This is a process that ensures that equilibrium is attained between identical securities i.e. securities with the same (risk/return) profile, which are being sold at the same price (the one price law). If two such securities are being sold at two differing prices (e.g. CZK 1100 and CZK 1120), then it can be expected that there will be demand for the cheaper security. The increase in demand will lead to an increase in its price, until the time when equilibrium is attained.

If there are any arbitrage opportunities available, then prices are not in equilibrium. Arbitrage profit ceases to exist when the transaction costs associated with the purchase of the cheaper security and the sale of a more expensive security exceed the difference in the prices of both securities (i.e. CZK 1120 – CZK 1100).

Transaction costs result in the imprecise application of the one price law. The lower the transaction costs are, the more effective the market mechanism will be.

Supplementary services offered for selected payment cards - such as Global Assistance service for motorists, Lifestyle assistance services or Home assistance. For more information see the product sheet of your payment card or insurance conditions.

Authorization is a process during a payment card transaction which verifies all configuration and security parameters of the payment card. The transaction is approved or rejected on the basis of this process.

(sometimes also referred to as "overdraft account") allows you to overdraw your account for a short period of time e.g., 6 months (also called "to be in the red / overdraw to debit"). Overdraft can be achieved in multiple ways, such as via a payment card, cash withdrawal from ATM, payment order, etc.
Authorized overdraft is conditioned by having positive or zero balance on your account at least once within the maturity period (30 or 180 days). The overdraft amount (so-called debit limit) is set by KB based on an individual assessment of the client. You are always charged interest for the overdraft (you are borrowing money from the bank for interest).
Unlike for "credit card", the so-called "grace period" cannot be used for authorized overdraft.

Automatic renewal of a payment card allows issuing a new card with new validity before the expiration of the card. The renewed payment card usually has the same number and always keeps the same PIN code. In case of a custom design using MojeKarta, the card is issued with the latest approved design.