online loan officersonline loan officersonline loan officers
 

Finance Charge

Finance charge is simply what customers pay lending institutions for the privilege of borrowing their money. As we all know, banks and other lending institutions are in business to make money, and they make profits by lending money to customers. Finance charges can come in different forms. When a bank lends money to a customer, the bank has the legal right to charge interest to the customer based upon the current federal prime-lending rate.

Some rates can be fixed. Others are adjustable. An example of a fixed rate can be seen, for instance, when the original is $1000, and it has a fixed interest rate of 10%, the eventual cost would end up being the amount of the loan plus a $100 finance, which comes out to be $1100. Besides fixed and adjustable rates, some rates are based on compound interest that will make the annual rate come out more than the rate on the first month. The longer the plan, the more interest rate you will have to pay the bank. For instance, you take out a loan of $300,000 and plan to pay it off in 30 years. You’ll end up paying the bank way more than just $300,000 at the end of the 30 years due to interest.

There are other forms of finance charge aside from interest. Bank and credit card companies often charge late fees to customers who fail to make monthly payments on time. The late fee policy for each company must be in writing under a federal Truth-in-Leading Act. If the entire balance is paid before the due date, no finance charge or late fee should apply. But if balances are left of their accounts, the bank or credit card company can legally add a percentage of that balance to the total amount owed.

Online Loan Officers

 

Loans

real estate loans Cincinnati real estate loans Fresno
real estate loans Santa Ana real estate loans Atlanta
real estate loans Los Angeles real estate loans San Diego
real estate loans Sacramento real estate loans Houston
real estate loans Pasadena real estate loans Chicago
real estate loans Denver real estate loans Phoenix
real estate loans Minneapolis real estate loans Dallas
real estate loans Pittsburgh real estate loans Philadelphia
real estate loans Charleston real estate loans San Jose
real estate loans Bakersfield real estate loans San Francisco
Loan Officer Directory (500 US Cities)

Financial Services

real estate loans New York real estate loans Houston
real estate loans Dallas real estate loans Charlotte
real estate loans Reno real estate loans Bethesda
real estate loans Worcester real estate loans Los Angeles
real estate loans San Jose real estate loans Miami
real estate loans High Point real estate loans Chicago
real estate loans San Diego real estate loans Mount Pleasant
real estate loans Birmingham real estate loans Harrisburg
real estate loans Dayton real estate loans Tempe
real estate loans Mesa real estate loans Glendale
real estate loans HOME
real estate loans Home Loans
real estate loans Real Estate Lawyers
real estate loans Financial Services
real estate loans Loan Tips
real estate loans Articles
real estate loans Terms
real estate loans Contact

Home Page | Type Of Loans | Interest Only Loans | Mortgage Loans 101 | Online Mortgage Loan Tips | Training

OnlineLoanOfficers.com, (c) 2007

Online Fast Quick Cash Loan Payday Advance