C1 · 44 words
Credit and interest in French
What borrowed money costs, what it secures and what it asks of the borrower.
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From these 44 words, as many per round as you like — up to all of them: first what is due today, then new ones. First you choose, then you fill the gap, then you write it yourself. Mistakes come back again shortly.
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La caution solidaire is a human being who signs for somebody else’s debt, and the first word of it is one English uses every day for something quite different. Both go back to Latin cautio, and cautio is built on cavere, to be on one’s guard. In Roman law a cautio was not a feeling at all: it was the written security a party gave, the undertaking that made a promise enforceable. French kept that half of the word. La caution is the person or the sum standing behind an obligation, se porter caution is to go surety for somebody, and sujet à caution, said of a claim, means it needs backing before anyone should believe it. English took the other half, the wariness out of which the security grew: « caution » is care, « to caution » is to warn, « precaution » is praecautio, and « caveat » is cavere itself in the subjunctive, let him beware. One Latin verb, then, gave one language a guarantor and the other an alarm bell — so a French contract that names la caution is naming a person, not sounding a warning.
The words
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Verb (6)
amortirto pay off (a loan)VerbC1
Ils amortissent leur prêt plus vite que prévu.They are paying off their loan faster than planned.
hypothéquerto mortgageVerbC1
Ils ont hypothéqué la maison pour financer l’atelier.They mortgaged the house to pay for the workshop.
avaliserto guarantee (a loan)VerbC1
La société mère avalise l’emprunt de sa filiale.The parent company guarantees the loan taken out by its subsidiary.
contrevenirto breach (a term)VerbC1
La société contrevient à une clause du contrat.The company is in breach of a term of the agreement.
refinancerto refinanceVerbC1
Ils refinancent leur dette auprès d’une autre banque.They are refinancing their debt with another bank.
décaisserto pay out (funds)VerbC1
La banque décaisse les fonds après la signature.The bank pays out the funds after signature.
Adjective (1)
Grammar for these: Adjective agreement · Where the adjective goes
subordonnésubordinatedAdjectiveC1
Un prêt subordonné passe après tous les autres.A subordinated loan ranks after all the others.
Phrase (4)
faire défautto defaultPhraseC1
L’entreprise a fait défaut sur une seule échéance.The company defaulted on a single instalment.
tirer sur la ligne de créditto draw on the credit linePhraseC1
Ils ont tiré sur la ligne de crédit pour payer les salaires.They drew on the credit line to pay the wages.
assurer le service de la detteto keep up the debt paymentsPhraseC1
La ville assure le service de la dette sans nouvel emprunt.The city keeps up the debt payments without borrowing again.
saisir le biento seize the assetPhraseC1
La banque peut saisir le bien mis en garantie.The bank can seize the asset given as security.
Noun (m) (19)
Grammar for these: Definite article: le, la, les · Indefinite article: un, une
le contrat de prêtthe loan agreementNoun (m)C1
Le contrat de prêt tient sur plusieurs pages de clauses.The loan agreement runs to several pages of clauses.
le capital empruntéthe principal borrowedNoun (m)C1
Le capital emprunté baisse à chaque mensualité.The principal borrowed falls with every monthly payment.
le tableau d’amortissementthe amortisation scheduleNoun (m)C1
Le tableau d’amortissement montre la part des intérêts.The amortisation schedule shows how much of each payment is interest.
l’amortissement du capitalthe repayment of principalNoun (m)C1
L’amortissement du capital commence lentement.Repayment of principal starts slowly.
le taux fixethe fixed rateNoun (m)C1
Le taux fixe protège contre les hausses.A fixed rate protects against rises.
le taux variablethe variable rateNoun (m)C1
Le taux variable suit un indice de référence.The variable rate follows a reference index.
les intérêts composéscompound interestNoun (m)C1
Les intérêts composés travaillent dans les deux sens.Compound interest works in both directions.
le nantissementthe pledge of an assetNoun (m)C1
Le nantissement porte sur un contrat d’épargne.The pledge is over a savings contract.
l’historique de créditthe credit historyNoun (m)C1
L’historique de crédit pèse plus que le revenu du mois.The credit history counts for more than this month’s income.
le prêt sans garantiethe unsecured loanNoun (m)C1
Un prêt sans garantie se paie par un taux plus élevé.An unsecured loan is paid for with a higher rate.
le remboursement anticipéearly repaymentNoun (m)C1
Le remboursement anticipé est prévu au contrat.Early repayment is provided for in the agreement.
l’engagement contractuelthe contractual undertakingNoun (m)C1
L’engagement contractuel porte sur les comptes annuels.The contractual undertaking covers the annual accounts.
le prêt relaisthe bridging loanNoun (m)C1
Le prêt relais couvre le temps entre l’achat et la vente.A bridging loan covers the time between the purchase and the sale.
le prêteurthe lenderNoun (m)C1
Le prêteur exige un état des dettes existantes.The lender asks for a statement of existing debts.
l’emprunteurthe borrowerNoun (m)C1
L’emprunteur doit signaler tout changement de situation.The borrower must report any change of circumstances.
le taux d’endettementthe debt-to-income ratioNoun (m)C1
Le taux d’endettement fixe la limite du dossier.The debt-to-income ratio sets the limit for the application.
le ratio du service de la dettethe debt service ratioNoun (m)C1
Le ratio du service de la dette compare la charge au revenu.The debt service ratio compares the burden with the income.
le taux effectif globalthe annual percentage rateNoun (m)C1
Le taux effectif global comprend les frais et l’assurance.The annual percentage rate takes in the fees and the insurance.
le créancier privilégiéthe preferential creditorNoun (m)C1
Le créancier privilégié passe avant les autres.The preferential creditor comes before the others.
Noun (f) (14)
Grammar for these: Definite article: le, la, les · Indefinite article: un, une
la caution solidairethe guarantor liable jointly and severallyNoun (f)C1
La caution solidaire paie sans qu’on poursuive d’abord le débiteur.A guarantor liable jointly and severally pays without the debtor being pursued first.
la qualité de signaturecreditworthinessNoun (f)C1
La qualité de signature décide du taux proposé.Creditworthiness decides the rate offered.
la défaillance de l’emprunteurthe borrower’s failure to payNoun (f)C1
La défaillance de l’emprunteur déclenche la procédure.The borrower’s failure to pay sets the procedure going.
la ligne de créditthe credit lineNoun (f)C1
La ligne de crédit reste ouverte même inutilisée.The credit line stays open even when it is not used.
l’échéance finalethe final maturityNoun (f)C1
L’échéance finale tombe après le départ à la retraite.Final maturity falls after retirement.
la durée du prêtthe term of the loanNoun (f)C1
La durée du prêt change le coût total plus que le taux.The term of the loan changes the total cost more than the rate does.
l’indemnité de remboursement anticipéthe early repayment chargeNoun (f)C1
L’indemnité de remboursement anticipé réduit l’économie espérée.The early repayment charge cuts into the saving that was hoped for.
la commission d’engagementthe commitment feeNoun (f)C1
La commission d’engagement se paie sur la part non utilisée.The commitment fee is charged on the part not drawn.
la restructuration de la dettethe restructuring of the debtNoun (f)C1
La restructuration de la dette étale les remboursements.Restructuring the debt spreads the repayments out.
la créance irrécouvrablethe irrecoverable debtNoun (f)C1
La créance irrécouvrable sort du bilan.The irrecoverable debt comes off the balance sheet.
la créance prioritairethe senior claimNoun (f)C1
La créance prioritaire est servie la première.The senior claim is paid first.
la reprise du bienthe repossession of the assetNoun (f)C1
La reprise du bien met fin au contrat.Repossession of the asset brings the agreement to an end.
la clause de déchéance du termethe acceleration clauseNoun (f)C1
La clause de déchéance du terme rend tout exigible d’un coup.The acceleration clause makes everything payable at once.
la suspension des mensualitésthe suspension of the monthly paymentsNoun (f)C1
La suspension des mensualités allonge la durée restante.Suspending the monthly payments lengthens the time left to run.
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This list belongs to Money, finance and economy — 30 lists and 1 067 words that can also be practised as a whole.