Bank Statement Program

Bank statements are used in lieu of W2’s and pay stubs for borrowers who have a difficult time proving their income by traditional means of their earnings. The average deposits will account for their qualifying monthly income. The usual calculation is the average deposits of the recent 12 or 24 months of personal or business bank account statements. Each lender may have their own formula to determine the actual percentage of the average deposits and the specific type of bank...

Bankruptcy

Bankruptcy is a proceeding in a federal court to relieve certain debt of a person or a business unable to pay its debts. A bankruptcy will stay on your credit rating for 7 to 10 years acting like a warning to potential lenders. The assets of a person filing bankruptcy are then turned over to a trustee and used to payoff outstanding bills. Personal bankruptcy can provide relief to people on dire financial straits by releasing them from the obligation to repay their...

Biweekly Payment Mortgage

A plan to reduce the debt every two weeks instead of making monthly payments. The result is that the equivalent of one additional monthly payment is made each year.

Blanket Mortgage

A mortgage that uses at least two pieces of real estate for security.

Borrower

The borrower in a mortgage loan transaction. A person, firm, or institution that obtained a loan from a lender or bank with the agreement that the money will be repaid in a specific time frame.

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