See our definitions to help you understand financial and legal terms.
This is a new service and we are still building our library of terms - please let us know any comments or suggestions for new definitions in the page feedback section below.
Bill of sale
Allows individuals to transfer ownership of their goods to a lender, normally as security for a loan until it's repaid. They're mostly used for logbook loans. Bills of sale have fewer consumer protections compared with other forms of lending (for example, because lenders have strong rights to seize the goods).
Binary options (or binary bets)
Financial products that involve an investor 'betting' on whether an event will happen or not. For example, whether the price of a share will go up or down within a certain timeframe. If the investor is correct, they receive a fixed pay-out. If they’re incorrect, they lose their full investment. In April 2019, we banned firms from selling binary options in the UK. If you're offered binary options, it may be a scam.
Bitcoin
Bitcoin is a type of cryptocurrency or electronic payment system that operates independently of a central bank. Read more about cryptoassets.
Boiler room scams (share bond)
Scammers pretend to be stockbrokers who then pressure you into buying worthless, over-priced or non-existent shares or bonds. These types of share and bond scams are often run from ‘boiler rooms’ overseas. Read more about share or bond scams and how to protect yourself.
Breakdown cover
Provides assistance if your car breaks down and it needs repairing or taking to a garage. We don't regulate breakdown cover, so you may not be able to complain to the Financial Ombudsman Service if something goes wrong. Read more about complaining about vehicle breakdown cover on the Financial Ombudsman website.
Broker
Brokers will arrange transactions between a buyer or a seller, such as buying insurance or getting a mortgage, in exchange for a commission.
Buy Now Pay Later (BNPL)
Refers to different types of credit or borrowing. There are generally 2 types of BNPL: the regulated type that’s usually interest free for a promotional period, but where you will pay interest if you do not repay in line with the agreement. Because these are regulated products, you should be protected if something goes wrong. But some BNPL is unregulated. This will always be interest free, although you could pay late fees if you miss a payment. It is usually repaid in around 3 months and used to make smaller purchases, such as clothes. This BNPL will become regulated from 15 July 2026, and we’re now developing the rules that lenders will need to follow. Find out more about BNPL from MoneyHelper.