Glossary
Decedent
A deceased natural person whose estate passes to their heirs either according to the provisions of the Inheritance Act (intestate decedent) or according to their formally expressed will (testator).
Deductible (Co-Payment)
In insurance, it is the insured’s percentage or fixed contribution to the total amount of a claim, with the remaining amount covered by the insurer. The size of the deductible affects the insurance premium. In some contexts, especially in European insurance, it is also called a franchise or excess.
Deposit
Funds deposited by individuals or legal entities in accounts with credit institutions, guaranteed by law up to a certain limit.
Deposit
A type of bank savings product, a term deposit, which allows its holder to accumulate funds in a deposit account while earning income from providing the money to the bank.
Derivative Product (Derivative)
A financial instrument whose value depends on or is linked to the price of another asset called the underlying asset. Underlying assets can be stocks, bonds, indices, currencies, commodities, or other financial instruments. Derivatives are commonly used for risk hedging, speculation, or access to markets and assets otherwise difficult to reach. Common derivative products include forwards, futures, options, and swaps. Trading derivatives is usually associated with higher risk, which is why it is regulated and requires professional management.
Digital Wallet (Electronic Wallet)
A virtual platform or application for managing financial assets, storing information about payment cards, transactions, passwords, and more. The most common are mobile wallets designed for smartphones and other mobile devices.
Digital Wallet - glossary for children
An application on a phone or smartwatch that stores information about bank cards, tickets, public transport cards, and and other digital items. It can be used to make payments by holding the device close to a payment terminal and to track how much money has been spent.
Direct Debit
A method of automatic payment where an individual (payer) authorizes a recipient (e.g. a service provider or institution) to withdraw funds directly from their bank account when a payment due date occurs, by giving consent to the bank. It is most used for loan instalments, utility bills, and other recurring payments.
Direct Tax
A tax imposed directly on the income, profits, real estate, or assets of individuals and legal entities, paid by the taxpayer to the state. Examples of direct taxes in Bulgaria include the personal income tax, corporate tax, real estate tax, vehicle tax, tax on property acquisition for consideration, gift tax, and inheritance tax.
Disability Pension due to General Illness
Granted to individuals with a permanent reduction in work capacity of 50% or more. The conditions for eligibility for this pension are specified in the Social Insurance Code.
Partners
