Glossary of Terms - S
Sale or Exchange
Any exchange of goods or services for money.
Savings Account
An account at a savings bank, commercial bank, or savings and loan (S&L) that pays interest on deposits, usually from the day of deposit to the day of withdrawal. Savings accounts held at financial institutions insured by the Federal Deposit Insurance Corporation (FDIC) or the Savings Association Insurance Fund (SAIF) are insured for up to $100,000. Secured Credit A loan, line of credit, or other financial obligation guaranteed by collateral.
Secured Debt
Debt guaranteed by the pledge of assets or other collateral
Security
An instrument that signifies an ownership position in a corporation (a stock), a creditor relationship with a corporation or governmental body (a bond), or rights to ownership such as an option, subscription right, or subscription warrant.
Self-Insure
Insuring oneself or one's business through savings or investments instead of purchasing insurance coverage.
Self-Insurance
Protecting against losses by setting aside your own money instead of using conventional insurance.
Separate Property
Refers to property owned solely by one of the spouses in a marriage. This concept can be particularly significant in connection with the regulations that affect community property.
Settlement
Disposition of a claim or policy benefit.
Settlor
The person who executes a deed to convey title to property, or who creates a trust. Also called a creator, grantor, donor, or trustor.
Short-Term Coverage
Coverage that lasts less than one year in duration.
Small Claims Court
An informal legal proceeding that can be used to settle disputes. Maximum amounts that can be claimed or awarded differ from state to state, but most small claims courts hear cases involving amounts from $25 to $2,000.
Special Assessments
Local taxes for sewer, water, trash removal, and other services that benefit the specific property assessed.
Statute of Frauds
A statute that requires contracts dealing with specific types of areas (land and marriage, for instance) to be in writing in order to be enforceable.
Statute of Limitations
Statute describing the time limitations before someone gives up their right to sue for a wrongful action. For example, the IRS has up to three years to assess back taxes from the time a tax return is filed, unless tax fraud is charged.
Statutes of Descent and Distribution
State laws that govern the distribution of an estate among heirs or relatives.
Stay
The suspension of a legal case or specified proceedings within it by the order of a court.
Stock Insurance Company
An insurance company that is owned by the company's stockholders, as opposed to a mutual insurance company that is owned by the company's policyholders.
Subrogation
The legal process by which an insurance company, after paying for a loss, seeks to recover the amount of the loss from another party who is legally liable. Surcharge An increase in your auto insurance premium due to an at-fault accident or a moving violation.