Understanding Credit
Getting a Mortgage
Shopping for a Home
Insurance
Fees
100
Companies that gather information about consumers who use credit and sell it to anyone with a legitimate buisness purpose.
What are credit reporting agencies?
100
A mortgage in which the interest rate does not change during the entire term of the loan.
What is a fixed-loan rate?
100
A condition put in an offer to buy a home.
What is contingency?
100
Protects lenders and homeowners against property loss due to problems with past ownership.
What is title insurance?
100
Costs the buyer must pay at the time of settlement in addition to the down payment?
What are closing costs?
200
An individual's credit history that is used by a lender to determine an applicant's creditworthiness.
What is a credit report?
200
A type of mortgage that is not insured by the federal government.
What is a conventional loan?
200
Funds submitted for an offer to show good faith to follow through with the purchase.
What is earnest money?
200
Two ways homeowners might get discounts on their homeowners insurance premium.
What are smoke detectors and security systems?
200
A fee equal to 1 percent of the principal amount being borrowed.
What is a point?
300
An account with a fixed amount of credit that requires equal payments over a specific time period.
What is installment?
300
A type of mortgage in which the interest rate changes periodically, up or down, usually once or twice a year.
What is an adjustable-rate mortgage?
300
A professional opinion of the market value of the property.
What is an appraisal?
300
A policy written to protect the lender against default by the homebuyer.
What is mortgage insurance?
300
A fee charged by the lender to cover administrative costs for evaluating, preparing and submitting a proposed mortgage loan.
What is an origination fee?
400
The length of time most public records remain on your credit report.
What is 7 years?
400
A type of seller financing where legal ownership does not transfer to the buyer until the loan is paid off.
What is contract for deed?
400
A legal document conveying title to the property.
What is a deed?
400
Money from the buyer's monthly payment set aside to cover taxes and insurance.
What is an escrow account?
400
An upfront fee paid to lower the interest rate.
What is a discount point or buy down?
500
Rent payments, utility payments, child support payments and other large, recurring expenses.
What is nontraditional credit?
500
Purchasers of mortgage loans that help make affordable lending products.
What are secondary market investors?
500
A type of ownership where all owners have an equal and undivided interest in the property.
What is joint tenancy?
500
An optional type of insurance that pays off the mortgage if the breadwinner dies.
What is mortgage life insurance?
500
The total cost of credit, including interest, points and certain fees charged by the lender.
What is an annual percentage rate?
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