Ability to service debts

• The ability of a firm to make the contractual payments required on a scheduled basis over the life of a debt.


Follow this link for all the terms related to debt.

 Embedded terms in definition
 Related Terms
 Debt service
Debt service coverage ratio
Debt service parity approach
Full service lease
Multiple listing service
Rating service

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Tips for Trying to Fix a Clogged or "Frozen" Home Equity Line: For years, homeowners have turned to home equity lines of credit (HELOCs) as a way to borrow against their home's value to pay for college tuition, home improvements, medical bills and other major expenses. (A home's equity is the market value minus what is owed on the mortgage. If you owe $100,000 on your mortgage but your home is worth $250,000, your equity is $150,000.) More...

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