Everything You Need To Know About Loans
|  Loan Dictionary  |    |  

  Points (Discount Points) Definition
Points (Discount Points) The fee you pay up front to the lender at the time of closing. Each point you pay will equal one percent of your mortgage amount and for each point paid, your interest will normally drop by one-quarter of a percentage point. For example, if you are taking out a mortgage of $200,000 and were to pay 2 points at closing to get an interest reduction of of a percent, you would need to pay $4,000 for those points. Costs like origination fees can also be expressed in points.
   
   
   


    Next Steps: Read Money Saving Loan Advice and Find Lenders with the LOWEST Loan Rates.
 
Mortgage Loans Home Refinancing Home Equity Loans Vehicle Loans Auto Refinancing



Home Loans & Car Loans Search

Home Refinancing | Home Mortgages | Home Equity Loans & Line of Credit | Auto & Motorcycle Loans | Auto Refinance Loans
Home - Loans | About EchoBay Loans | Loan Advice | SitemapCredit Report Help CenterDefinition Dictionary


Copyright© 2008, EchoBay Loans Company
Mortgage Refinancing Home Loans Home Equity Loans Auto & Motorcycle Loans Auto Refinancing Credit Reports