M
Banking Terms - MMagnetic Ink Character Recognition (MICR) - (computer technology allowing a system to recognize and process digital characters printed on paper - used in check processing where routing and account information are printed at the bottom of a check)
management buyout (MBO) - (purchase of all of a company's publicly-held shares by the existing management, which takes the company private)
management by objective (MBO) - (system of performance appraisal involving short-term goals and targets and evaluations)
Management Information System (MIS) - (computer-based or manual system that transforms data into information useful in the support of decision making, used for generating reports and supporting decision-making)
mandatory access control (MAC) - (computer system model/framework where users meeting specific, assigned criteria are allowed access - used in military classified systems)
Master of Business Administration (MBA) - (advanced degree in business management studies)
media access control (MAC) - (permanent hardware address identifier burned into a network interface card (NIC) when it is manufactured)
Medical Savings Account (MSA) - (tax-deferred account allowing savings for medical expenses)
Member, Appraisal Institute (MAI) - (professional designation by the American Institute of Real Estate Appraisers of the National Association of Realtors, given to real estate appraisers who meet qualifying standards and are certified by the Institute)
Memorandum of Understanding (MOU) - (agreement between an institution and regulators regarding corrective actions to be taken or restrictions to be observed by the institution)
Merger and Acquisition (M&A) - (combination of two or more companies, where the combination involves the acquisition of one of the companies through the purchase of its assets or stock)
message authentication code (MAC) - (unique security code, created by an algorithm, and used in electronic funds transfer (EFT) to ensure that the information has not been tampered with, and that the sender of the message is, in fact, the originating bank)
Metropolitan Statistical Area (MSA) - (federally designated geographical unit consisting of an urbanized area with a central city of at least 50,000 residents and a regional population of 100,000)
Money Laundering Suppression Act of 1994 (MLSA) - (law strengthening anti-money laundering enforcement by exempting certain types of customers and transactions from reporting requirements - reporting of every large transaction threatened to overwhelm investigative resources and interfere with enforcement)
Money Laundering Threat Assessment, U.S. (MLTA) - (government-wide analysis of money laundering in the United States)
money market certificate (MMC) - (nonnegotiable certificate of deposit, with a minimum denomination of $2,500, but with maturities and rates set by individual banks)
Money Market Deposit Account (MMDA) - (high-yield savings account which pays a market rate of interest so long as the account balance stays above $1,000)
Money Market Fund (MMF) - (mutual fund that invests in short-term debt instruments, such as acceptances, Treasury bills, commercial paper, and negotiable certificates of deposit)
money order (MO) - (financial instrument that can be easily converted into cash by the payee named on the money order)
Money Services Business (MSB) - (financial service provider giving individuals and businesses access to cash - Money Services Businesses can include: 1) dealers in foreign exchange; 2) check cashers; 3) issuers or sellers of traveler's checks or money orders; 4) providers or sellers of prepaid access; and 5) money transmitters)
mortgage-backed security (MBS) - (security backed by mortgages)
mortgage servicing rights (MSR) - (administrative services rights involving the collection of principal and interest payments on mortgages)
most favored lending laws (MFL) - (laws allowing banks and savings associations in one state to grant favorable home-state interest rates to out-of-state customers)
Multiple Options Funding Facility (MOFF) - (medium-term Euronote financing allowing the borrower to choose from several funding options)
Municipal Securities Rulemaking Board (MSRB) - (self-regulatory organization which sets rules for the trading of municipal bonds by broker-dealers and bank dealers and provides an arbitration service in the event of disputes)
municipal security (MUNI) - (debt obligation of a state or local government)
municipal utility district (MUD) - (local political subdivision that provides utility-related services to municipalities - may issue bonds to fund projects)
Mutual Savings Bank (MSB) - (state chartered nonstock savings institution that accepts deposits from individuals and primarily makes residential mortgage loans)