Banking & Financial Regulations Glossary (A–Z) | Spanish-English
The Language of Value and Compliance
Banking & Financial Regulations
A Professional Gift to the Interpreting Community from Samuel Arcelay
Financial interpretation is not merely about numbers; it is about the movement of those numbers and the rules governing them. Whether interpreting in a federal money laundering trial or a civil bankruptcy deposition, this vocabulary is essential for accuracy in the red or the black.
A
Account FreezeCongelación de cuenta
Definition: Restriction preventing withdrawals, usually due to fraud or legal order.
Adjustable–Rate Mortgage (ARM)Hipoteca de tasa ajustable (ARM)
Definition: Mortgage with an interest rate that periodically changes based on an index.
Annual Percentage Rate (APR)Tasa de porcentaje anual (APR)
Definition: Total yearly cost of a loan including interest and fees.
AnnuityAnualidad
Definition: A financial product that pays out a fixed stream of payments, primarily used for retirees.
Anti–Money Laundering (AML)Prevención de lavado de dinero (AML)
Definition: Federal regulations requiring institutions to detect and report suspicious transactions.
ArbitrageArbitraje
Definition: The purchase and sale of an asset to profit from price differences between markets.
Asset ForfeitureDecomiso de activos
Definition: Government seizure of money or property connected to illegal activity.
Asset–Backed Security (ABS)Valor respaldado por activos (ABS)
Definition: Investment security backed by a pool of loans or receivables.
Audit TrailRastro de auditoría
Definition: A step-by-step record by which accounting or trade details can be traced to their source.
Automated Clearing House (ACH)Cámara de Compensación Automatizada (ACH)
Definition: Electronic network for direct deposits, bill payments, and bank transfers.
B
Bank Secrecy Act (BSA)Ley de Secreto Bancario (BSA)
Definition: Federal law requiring banks to keep records and report large transactions.
Bankruptcy FilingDeclaración de bancarrota
Definition: Legal process for individuals or businesses unable to repay debts.
Basel III StandardsNormas de Basilea III
Definition: International banking regulations setting capital, leverage, and liquidity standards.
Baseline Compliance ReviewRevisión básica de cumplimiento
Definition: Internal audit evaluating if a financial institution follows regulatory standards.
Beneficial OwnerPropietario beneficiario
Definition: Person who ultimately owns or controls a company.
Bridge LoanPréstamo puente
Definition: A short-term loan used until permanent financing is secured.
Broker–DealerCorredor–agente de valores
Definition: Registered individual or firm that buys and sells securities.
C
Capital Requirements (Banking)Requisitos de capital
Definition: Minimum financial reserves banks must maintain to protect depositors.
Certificate of Deposit (CD)Certificado de depósito (CD)
Definition: Savings certificate with a fixed maturity date and specifying fixed interest rate.
Charge-OffCastigo / cancelación contable de deuda
Definition: Debt written off as uncollectible but still legally owed.
Check 21 ActLey de Cheques del Siglo XXI
Definition: Federal law allowing banks to create electronic image substitutes of checks.
CollateralColateral / Garantía
Definition: Something pledged as security for repayment of a loan.
Compliance OfficerOficial de cumplimiento
Definition: Person responsible for ensuring institution meets legal obligations.
Consumer Financial Protection Bureau (CFPB)Oficina de Protección Financiera del Consumidor
Definition: Federal agency regulating financial products and protecting consumers.
Credit Bureau ReportInforme de buró de crédito
Definition: Record of a consumer’s credit history used to assess risk.
Credit Default Swap (CDS)Permuta de incumplimiento crediticio
Definition: Financial derivative that allows an investor to offset credit risk.
Currency Transaction Report (CTR)Reporte de transacción monetaria (CTR)
Definition: Mandatory report for cash transactions over $10,000.
Custodian BankBanco custodio
Definition: Institution that holds customers' securities for safekeeping.
Customer Identification Program (CIP)Programa de Identificación de Clientes (CIP)
Definition: Procedures requiring verification of customer info at account opening.
D
Debt–to–Income Ratio (DTI)Relación deuda–ingreso (DTI)
Definition: Measure comparing monthly debt obligations to gross monthly income.
DefaultIncumplimiento
Definition: Failure to fulfill an obligation, especially to repay a loan.
DelinquencyMora / retraso de pago
Definition: Failure to make loan payments on time.
Deposit InsuranceSeguro de depósitos
Definition: Protection against risk of loss arising from bank failure (FDIC).
Derivative ContractContrato derivado
Definition: Financial instrument whose value depends on underlying asset performance.
Disclosure StatementDeclaración de divulgación
Definition: Document explaining interest rates, fees, or risks.
Dodd-Frank ActLey Dodd-Frank
Definition: Comprehensive financial reform legislation passed in 2010.
Dormant AccountCuenta inactiva
Definition: Account with no activity for an extended period.
Due Diligence (CDD / KYC)Debida diligencia (CDD / KYC)
Definition: Verification of customer identity and risk profile.
E
Electronic Funds Transfer Act (EFTA)Ley de Transferencias Electrónicas de Fondos
Definition: Protects consumers using debit cards, ATMs, and electronic transfers.
EquityCapital / patrimonio
Definition: Ownership value in an asset after subtracting liabilities.
EscheatmentEscheatment / traspaso estatal
Definition: Transfer of abandoned financial assets to the state.
Escrow AccountCuenta de plica / depósito en garantía
Definition: Account where funds are held by a third party for taxes or insurance.
Exchange Rate RegulationRegulación del tipo de cambio
Definition: Government policies controlling currency valuation.
F
Fair Credit Reporting Act (FCRA)Ley de Informe Justo de Crédito (FCRA)
Definition: Regulates credit reporting and consumer rights to dispute inaccuracies.
Fair Lending LawsLeyes de préstamos justos
Definition: Federal laws prohibiting discrimination in lending.
Federal Deposit Insurance Corporation (FDIC)Corporación Federal de Seguro de Depósitos
Definition: Agency that insures bank deposits up to legal limits.
Federal Reserve System (The Fed)Sistema de la Reserva Federal
Definition: The central banking system of the United States.
Fiduciary DutyDeber fiduciario
Definition: Legal obligation to act in the best interest of the client.
FinCENFinCEN (Red de Control de Delitos Financieros)
Definition: Agency overseeing AML reporting and financial crime enforcement.
Fixed Interest RateTasa de interés fija
Definition: Interest rate that remains the same for the term of the loan.
ForeclosureEjecución hipotecaria
Definition: Legal process where lender takes possession after default.
Fraud AlertAlerta de fraude
Definition: Notice placed on credit report requiring lenders to verify identity.
G
GarnishmentEmbargo de cuenta bancaria
Definition: Court-ordered seizure of funds in a bank account.
General Ledger (GL)Libro mayor (GL)
Definition: Master financial record for all accounts of an institution.
Government-Sponsored Enterprise (GSE)Empresa patrocinada por el gobierno (GSE)
Definition: Federally backed financial entities (e.g. Fannie Mae).
Gramm–Leach–Bliley Act (GLBA)Ley Gramm–Leach–Bliley (GLBA)
Definition: Federal law governing financial privacy and data security.
Gross IncomeIngreso bruto
Definition: Total earnings before taxes and deductions.
GuarantorGarante / Fiador
Definition: Person or entity that guarantees to pay a borrower's debt.
H
Hedge FundFondo de cobertura
Definition: Alternative investment vehicle available only to sophisticated investors.
High-Risk CustomerCliente de alto riesgo
Definition: Account holder requiring enhanced monitoring due to crime risk.
Hold (Bank Hold)Retención bancaria
Definition: Temporary restriction on deposited funds until cleared.
Home Equity Line of Credit (HELOC)Línea de crédito sobre el valor neto (HELOC)
Definition: Revolving credit secured by home equity.
Home Mortgage Disclosure Act (HMDA)Ley de Divulgación de Hipotecas (HMDA)
Definition: Law requiring lenders to report data to detect discrimination.
I
Identity Verification (IDV)Verificación de identidad
Definition: Process of confirming customer identity through documents.
Insider TradingOperaciones con información privilegiada
Definition: Illegal trading based on confidential, nonpublic information.
InsolvencyInsolvencia
Definition: The state of being unable to pay debts as they fall due.
Interest Rate CapLímite de tasa de interés
Definition: Maximum interest rate allowed on adjustable-rate loans.
Intermediary BankBanco intermediario
Definition: Bank used to transfer funds between foreign/domestic institutions.
Internal AuditAuditoría interna
Definition: Independent review of internal controls and rules.
Intrabank TransferTransferencia intrabancaria
Definition: Movement of funds between accounts within the same institution.
Investment Adviser RegistrationRegistro de asesor de inversiones
Definition: Process by which advisers register with the SEC.
J
Joint AccountCuenta conjunta
Definition: Account owned by two or more individuals with equal rights.
Judgment LienGravamen por sentencia
Definition: Legal claim against property to secure a debt via court judgment.
Jumbo LoanPréstamo jumbo
Definition: Mortgage exceeding conforming loan limits.
K
Key Financial ControlsControles financieros clave
Definition: Procedures ensuring accuracy in financial reporting.
Key Risk Indicators (KRIs)Indicadores clave de riesgo (KRIs)
Definition: Metrics used to measure risk exposures within an institution.
KitingFraude de intercambio de cheques (kiting)
Definition: Fraud involving floating checks between accounts.
Know Your Customer (KYC)Conozca a su cliente (KYC)
Definition: Regulatory requirement to verify identity and assess risk.
L
Letter of Credit (LC)Carta de crédito
Definition: Bank guarantee issued to support international trade.
Leverage RatioRatio de apalancamiento
Definition: Measurement of capital compared to debt.
Levy (IRS or Court)Embargo fiscal / incautación
Definition: Legal seizure of bank funds by IRS or creditor.
LienGravamen
Definition: Right to keep possession of property until debt is discharged.
Liquidity RequirementRequisito de liquidez
Definition: Minimum liquid assets banks must maintain.
Loan ModificationModificación de préstamo
Definition: Permanent change to terms of a loan to avoid default.
Loan-to-Value Ratio (LTV)Relación préstamo-valor (LTV)
Definition: Amount of mortgage compared to property value.
M
Margin CallLlamado de margen
Definition: Demand for additional funds to cover losses in trading.
Market ManipulationManipulación del mercado
Definition: Illegal interference with markets to affect prices.
Minimum Balance RequirementRequisito de saldo mínimo
Definition: Lowest amount required to avoid fees.
Monetary PolicyPolítica monetaria
Definition: Central bank actions to control money supply.
Money Services Business (MSB)Negocio de servicios monetarios (MSB)
Definition: Non-bank entity offering transfers, check cashing, etc.
Mortgage ServicerAdministrador hipotecario
Definition: Entity handling payments, escrow, and foreclosure.
N
Negative AmortizationAmortización negativa
Definition: Situation where payments don't cover interest, increasing balance.
Net Capital RuleRegla de capital neto (SEC)
Definition: Minimum financial requirements for broker-dealers.
Non-Bank Financial Institution (NBFI)Institución financiera no bancaria
Definition: Entity offering financial services outside traditional banking.
Non-Performing Loan (NPL)Préstamo en incumplimiento (NPL)
Definition: Loan on which borrower has stopped making payments.
Notice of Adverse ActionAviso de acción adversa
Definition: Required notice explaining reasons for denying credit.
O
Office of the Comptroller of the Currency (OCC)Oficina del Contralor de la Moneda (OCC)
Definition: Federal agency supervising national banks.
OFAC Sanctions ScreeningRevisión de sanciones OFAC
Definition: checking customers against U.S. sanctions lists.
Operational RiskRiesgo operacional
Definition: Risk of loss resulting from failed processes or systems.
Over-the-Counter (OTC) TradingNegociación extrabursátil (OTC)
Definition: Trading of securities not listed on exchanges.
Overdraft ProtectionProtección contra sobregiros
Definition: Service allowing transactions without sufficient funds.
P
Patriot Act (Financial)Ley Patriota (disposiciones financieras)
Definition: Strengthened AML rules and required customer verification.
Payment Settlement SystemSistema de liquidación de pagos
Definition: Infrastructure for transferring funds between banks.
Portfolio Risk AssessmentEvaluación de riesgo de portafolio
Definition: Analysis of risk exposure across a lender’s loans.
Prepayment PenaltyPenalidad por pago anticipado
Definition: Fee charged for paying off a loan early.
Prime RateTasa preferencial
Definition: Interest rate used by banks for preferred customers.
PrincipalPrincipal / Capital
Definition: The original sum of money borrowed or invested.
Promissory NotePagaré
Definition: written promise to pay a definite sum.
Provision for Loan LossesProvisión para pérdidas de préstamos
Definition: Expense set aside to cover uncollectible loans.
Q
Qualified Mortgage (QM)Hipoteca calificada (QM)
Definition: Mortgage meeting federal safety standards.
Quantitative Easing (QE)Flexibilización cuantitativa (QE)
Definition: Monetary policy where central bank buys securities to inject liquidity.
Quarterly Call ReportInforme bancario trimestral
Definition: Mandatory detailed filing of a bank's financial condition.
R
Recovery PlanPlan de recuperación / resolución
Definition: Strategy to restore financial strength in stress scenarios.
RedliningRedlining / Discriminación por zona
Definition: Discriminatory practice of denying services to specific areas.
Regulation ERegulación E (transferencias electrónicas)
Definition: Rules governing consumer ATM/debit transactions.
Regulation ZRegulación Z (Ley de Veracidad)
Definition: Requires clear disclosure of loan terms and costs.
Repo AgreementAcuerdo de recompra (repo)
Definition: Short-term loan secured by securities.
Reserve RequirementRequisito de reserva
Definition: Amount banks must keep on hand.
Reverse MortgageHipoteca inversa
Definition: Loan for homeowners 62+ using home equity as collateral.
Risk-Based Pricing NoticeAviso de fijación de precio por riesgo
Definition: Disclosure required if higher rates are charged due to history.
S
Securities and Exchange Commission (SEC)Comisión de Bolsa y Valores (SEC)
Definition: Agency overseeing securities exchanges and advisors.
SecuritizationSecuritización
Definition: Pooling loans into securities sold to investors.
Settlement AccountCuenta de liquidación
Definition: Account used to finalize transactions between institutions.
SolvencySolvencia
Definition: Ability of a company to meet long-term debts.
Stress TestPrueba de resistencia bancaria
Definition: Evaluation of bank ability to survive economic shocks.
Subprime LendingPréstamos de alto riesgo
Definition: Loans to people with difficulty maintaining payment schedules.
Suspicious Activity Report (SAR)Reporte de actividad sospechosa (SAR)
Definition: Confidential report filed when detecting suspicious transactions.
Systemically Important Institution (SIFI)Institución de importancia sistémica (SIFI)
Definition: Firm whose failure threats the financial system.
T
Tier 1 CapitalCapital de nivel 1
Definition: Core bank capital including common equity.
Time DepositDepósito a plazo (CD)
Definition: Interest-bearing deposit held for a fixed term.
Transaction Monitoring (AML)Monitoreo de transacciones (AML)
Definition: Automated tracking of customer activity.
Treasury YieldRendimiento del Tesoro
Definition: Return on U.S. government bonds.
Truth in Savings Act (TISA)Ley de Veracidad en Ahorros (TISA)
Definition: Requires disclosure of fees, terms, and calculations.
U
Underwriting StandardsNormas de evaluación (underwriting)
Definition: Criteria lenders use to evaluate risk.
Uniform Commercial Code (UCC)Código Comercial Uniforme (UCC)
Definition: Laws governing all commercial transactions in the U.S.
Unsecured LoanPréstamo no garantizado
Definition: Loan not backed by collateral.
Usury LawLey de usura (límites de interés)
Definition: Law capping maximum interest rates on loans.
V
Variable Interest RateTasa de interés variable
Definition: Interest rate that changes with market conditions.
Vendor Risk ManagementGestión de riesgo de proveedores
Definition: Process of monitoring risks posed by third-party providers.
Volcker RuleRegla Volcker
Definition: Restricts banks from proprietary trading.
W
Wealth ManagementGestión de patrimonio
Definition: Investment advisory combined with other financial services.
Wire TransferTransferencia bancaria (SWIFT)
Definition: Electronic transfer of funds between banks.
Withdrawal LimitLímite de retiro
Definition: Maximum amount a customer may withdraw in a period.
Write-DownReducción del valor contable
Definition: Decrease in book value of an asset due to impairment.
X
XBRL FilingDeclaración XBRL
Definition: Digital reporting format required for financial statements.
Y
Year-End ReconciliationConciliación de de fin de año
Definition: Review ensuring financial records match account statements.
Yield CurveCurva de rendimiento
Definition: Graph showing interest rates for different bond maturities.
Yield to Maturity (YTM)Rendimiento hasta el vencimiento (YTM)
Definition: Total expected return on a bond if held until it matures.
Z
Zero Coupon BondBono cupón cero
Definition: Bond sold at discount that pays no periodic interest.
Zero-Balance Account (ZBA)Cuenta de saldo cero (ZBA)
Definition: Corporate account that maintains balance of zero.
Zombie BankBanco zombi
Definition: Insolvent bank kept alive through government support.