Glossary
State Fees
Mandatory payments to the state for the use of various government services and administrative procedures, such as issuing documents, registrations, and other official actions. For example, when purchasing real estate through a mortgage loan, the registration agency collects fees for registering the notarized deed and the mortgage.
State Social Insurance (SSI)
A compulsory social insurance system organized and administered by the state. It is funded through contributions from employees, employers, and the state, and provides pensions, benefits, and other social payments. SSI is the first pillar of Bulgaria’s pension system and operates on a pay-as-you-go principle. Contributions are calculated based on insurable income and flow into the Pensions Fund, from which current pensions are paid. Other funds include General Sickness and Maternity, Occupational Accidents and Diseases, and Unemployment, which provide the respective benefits.
Static 3D Secure Password (code)
A password preset by the bank for online payments, which can be combined with a dynamic (one-time) password sent via SMS or generated by an m-token or mobile app for the specific transaction.
Stock
A general term for the equity ownership in a corporation representing all the shares issued by that company.
Structured Deposit
A hybrid product between a savings and an investment product, combining the security of a deposit with the potential for higher returns. In this type of deposit, the return is linked to the performance of another financial market asset — for example, stocks or stock indices.
Student Loan
A targeted loan intended to cover tuition fees and/or living expenses for students and doctoral candidates. Repayment usually begins after graduation. Some student loans are guaranteed by the state through financial support.
Subject of Insurance
The specific object or risk against which protection is provided against financial losses in the event of a particular insured event related to a person, property, activity, or liability, and for which the insurer provides coverage under the insurance contract. For example, the subject of insurance may include property, liability, life, health, or the bodily integrity of the insured.
Sum Insured
The maximum amount of compensation the insurer may pay for a specified risk under the policy.
Supplementary Compulsory Pension Insurance (SMPI)
This is the second pillar of the pension system in Bulgaria, implemented by licensed pension insurance companies through the funds they manage, where compulsory contributions are accumulated in individual accounts. It entitles those born after December 31, 1959, to a second pension through participation in a universal pension fund (UPF) and early retirement pension for workers in first and second category jobs through participation in a professional pension fund (PPF). Insured persons choose from the registered pension funds, and if they do not specify a fund, they are allocated by default. They can transfer their individual account from one fund to another, as well as to the Pensions Fund of the State Social Insurance.
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