Origination Fee
Definition
- A fee charged by the lender to the borrower for processing a loan. The fee includes the costs for preparing loan documents, checking the borrower's credit history, inspecting the property, and conducting an appraisal if applicable. CanEquity tries to use lenders who do not charge this fee, but we will cover the cost in full if using such a lender necessary.
Synonyms
loan origination fee
Related Terms and Acronyms
- Acquisition Fee — Definition,
- A fee charged by some leasing companies for originating the loan, just as mortgage lenders charge points as an origination fee. This fee is often not specified in a contract, but rolled into the capitalized cost when calculating monthly payments.
- Amortized Loan — Definition,
- A loan that is completely paid off, interest and principal, by a series of regular payments that are equal or nearly equal.
- Assumption Fee — Definition,
- A lender's charge for updating records when a buyer takes responsibility for a mortgage from the seller.
- Closing Date (cloda) — Abbreviation,
- The date a buyer takes possession of a property title.
- Flat Fee — Definition,
- A fixed charge that a broker requests instead of a commission.
- Interest (IN, int) — Acronym & Abbreviation,
- Money paid for the use of borrowed funds, usually expressed as an annual percentage.
➥ Bank account transaction code. - Interest Rate (IR) — Acronym, Very Important,
- The rate a lender charges an individual to borrow money.
- Loan — Definition,
- Letting another party use something of value temporarily.
- Loan Application — Definition,
- A document in which a prospective borrower details his or her financial situation to qualify for a loan.
- Loan Application Fee — Definition,
- A cost charged by a lender for processing loan application documents that are submitted by prospective borrowers.
- Loan Origination — Definition,
- The process of applying for a loan and the handling of that application by a lender.
- Mortgage (mtg) — Abbreviation, Important,
- A mortgage is a contract stipulating a specific real property, typically a residence or building, as collateral for a loan. The mortgage incurs a rate of interest that varies according to term and other features.
- Mortgage Application — Definition, Very Important,
- A document in which a prospective borrower details his or her financial situation to qualify for a loan.
- Mortgage Broker (MB) — Acronym, Important,
- One who finds clients perspective lenders at generally no cost. Mortgage Brokers have a special relationship with lenders and can offer their clients the best rates and service. CanEquity goes through great lengths to ensure you are serviced by the best Mortgage Brokers in Canada.
- Mortgage Rate — Definition, Very Important,
- The interest rate on a mortgage loan.
➥ You can compare mortgage rates using this website by clicking 'Rates' above. - Origination Date — Definition,
- The date on which a loan is funded.
