In which document would you find the terms of the loan including the payment and rate of interest quizlet?

Q: Which document specifies the amount of the mortgage loan the interest rate loan term in repayment schedule?

A promissory note is like an IOU. It contains the borrowers promise to pay off the debt and the terms for repayment. The note includes the loan terms, like the interest rate (fixed or adjustable), the late charge amount, the amount of the loan, and the term (number of years).

Loan discount = $4,200; Effective yield = 9 1/4%

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In which document would you find the terms of the loan including the payment and rate of interest?
Which document spells out the conditions of the loan repayment including the interest rate term and payment schedule?
What document indicates the amount and terms of the loan and what the lender can do if the borrower fails to make payments?
Which document specifies the amount of the mortgage loan the interest rate loan term in repayment schedule?

*Loan amount = $280,000 (purchase price) - $70,000 (down payment) = $210,000

One point is equal to 1% of the loan in dollars. So, two points is 2% of the loan or: $210,000 x .02 = $4,200 (Loan discount)

For each point charged by the lender, the rate of interest increases approximately 1/8 percent. 2 points x 1/8% = 2/8% or 1/4%

9% (Rate paid by borrower) + 1/4% (Increase due to discount) = 9 1/4% Effective yield. *

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In which document would you find the terms of the loan including the payment and rate of interest?

A promissory note essentially outlines the terms to pay back the lending institution. A promissory note provides the financial details of the loan's repayment, such as the interest rate and method of payment. A mortgage specifies the procedure that will be followed if the borrower doesn't repay the loan.

Which document spells out the conditions of the loan repayment including the interest rate term and payment schedule?

The promissory note (the legal document you signed to get your loan) is your promise to pay and spells out terms for repayment.

What document indicates the amount and terms of the loan and what the lender can do if the borrower fails to make payments?

Mortgage note: This document states your promise to repay the mortgage. It indicates the amount and terms of the loan and what the lender can do if you fail to make payments.

Which document specifies the amount of the mortgage loan the interest rate loan term in repayment schedule?

A "promissory note" is like an IOU. It contains the borrower's promise to pay off the debt and the terms for repayment. The note includes the loan terms, like the interest rate (fixed or adjustable), the late charge amount, the amount of the loan, and the term (number of years).