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Username: LuckyMan Rating:  Asked to: Talitha Taslim Date Created: 29 Nov 2016 |
| Category | 28 |
| Tag | Financial |
| Question | What is an 'Obligation'? |
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Hello LuckyMan, An obligation in finance is the responsibility to meet the terms of a contract. If an obligation is not met, the legal system often provides recourse for the injured party. Financial obligations represent any outstanding debts or regular payments that you must make. If you owe or will owe money to anybody, that is one of your financial obligations. Almost any form of money represents a financial obligation – coins, bank notes, or bonds are all promises that you will be credited the accepted value of the item. Most formal financial obligations, like mortgages, student loans or scheduled service payments, are set down in written contracts signed by both parties. |
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