What Are Loan Origination Fees and What Effect Does It

question 90

Essay

What are loan origination fees and what effect does it have on the loan?

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Definitions:

Fixed Monthly Payments

Regular, unchanging payments made each month for a period of time, often used in loans and lease agreements.

Promissory Note

An investment vehicle that features a concrete promise by one entity to pay a definitive money amount to another, either upon solicitation or on a specified date.

Legal Due Date

The specific date by which a legal obligation must be satisfied, such as the payment of debts or completion of contractual duties.

Principal

The original sum of money borrowed in a loan or the amount of the investment.