INSOLVENCY  
The inability of a borrower to meet financial obligations as they mature or having insufficient assets to pay legal debts. 

 

INTEREST  
An amount paid a lender for the use of funds. 

 

INVERSE ORDER OF MATURITY 
When payments are received from borrowers that are larger than the authorized repayment schedules, the overpayment is credited to the final installments of the principal, which reduces the maturity of the loan and does not affect the original repayment schedule. 

 

INVESTMENT BANKING 
Businesses specializing in the formation of capital. This is done by outright purchase and sale of securities offered by the issuer, standby underwriting, or "best efforts selling." 

 

INVITATION FOR BIDS 
Formal solicitations for offerings to perform procurements by competitive bids when the specifications describe the requirements of the government clearly, accurately, and completely, but avoiding unnecessarily restrictive specifications or requirements which might unduly limit the number of bidders. 

JOB DESCRIPTION 
A written statement listing the elements of a particular job or occupation, e.g., purpose, duties, equipment used, qualifications, training, physical and mental demands, working conditions, etc. 

 

JUDGMENT  
Judicial determination of the existence of an indebtedness or other legal liability. 

 

JUDGMENT BY CONFESSION 
The act of debtors permitting judgment to be entered against them for a given sum with a statement to that effect, without the institution of legal proceedings. 

 

JUNK BOND 
A high-yield corporate bond issue with a below-investment rating that became a growing source of corporate funding in the 1980s.