Mortgage Glossary

Amortisation
Amortisation is the process by which a loan, such as a mortgage, is gradually eliminated through regularly scheduled payments that cover the interest and a portion of the principal. Also, the schedule of such loan repayment. more about amortisation

Annual Percentage Rate
The annual equivalent rate of return on a loan or investment in which the rate of interest specified is chargeable or payable more frequently than annually. Most investment institutions are now required by law to specify the APR when the interest intervals are more frequent than annual. Similarly those Credit cards that advertise monthly rates of interest (say two per cent) mistake equivalent APR.

Annuity

A contract in which a person pays a premium to an insurance company, usually in one lump sum, and in return receives periodic payments For an agreed period or for the rest of his or her life (life annuity). An annuity has been described as the opposite of a life assurance as the policyholder pays that the lump sum and be insurer makes the regular payments. Annuities are often purchased at a time of prosperity to convert capital into an income during old age. Other terms used can contain annuity certain; deferred annuity.

1. Annuity certain -an annuity in which payments continue to race a specified period irrespective of the life or death of the person covered. In general annuities cease on the death of the policy holder unless they are annuities certain.
2. Life annuity - an annuity then ceases to be paid and the death of a specified person which may or may not be the end the annuity holder.

Balloon Mortgage
A mortgage in which some of the original principle and some interest is still outstanding at the end of the mortgage agreement period; it is also called a non amortising mortgage. With a balloon mortgage a lump sum has to be repaid at the end of the term to cover the remaining debt.
Balloon - a larger sum repaid as any regular instalment of a loan repayments
Balloon loans - balloon Loans are those in which repayments are not made in a regular manner but are made, as funds' become available, in balloons

Bank Of England
the central bank of the UK. It was established in 1694 as a private bank by London merchants in order to lend money to the state and to deal with the national debt. It came under public ownership in 1946 of with the passing of the Bank of England Act. The Bank of England axe as their governments and bank, providing loans through ways and means advances and arranging borrowing through the issue of gilt-edged securities. The bank helps it to implement the Government's financial and monetary policy as directed by the Treasury. It also has wide statutory powers and to supervise the banking system, including the commercial banks and to which, through the discount market, it acts as a lender of last resort, recently the Labour government gave the Bank of England the power to set up base interest rate.

The bank Charter Act 1844 divided and the bank into an issue department and a Banking Department. The EC department is responsible for the issue of bank notes and coins as supplied by the Royal Mint. The banking department provides banking services (including accounts) s to commercial banks, foreign banks, all the central banks, and government departments. The bank manages their national debt, acting as Registrar of government stocks. It also administers exchange control, when in force, and manages the Exchange equalisation Account. The bar and his controlled by a governor, deputy-Governor, and a court ( Board) off 16 directors, appointed by the Crown for periods off 4-5 years.

Bankruptcy
The state of an individual who isn't able to pay his or her debts and against whom a bankruptcy order has been made by a court. Such orders deprived bankruptcy of their property, which is then used it to pay their debts. Bankruptcy proceedings are started by a petition, which may be presented to the court by...

• Creditor or creditors
• A person affected by a voluntary arrangement to pay debts settled by the debtor under the Insolvency Act 1986;
• The Director of Public Prosecutions;
• The debtor

The grounds for a creditor's petition are that the debtor appears to be on able to pay his or heard debts ought to have reasonable prospects of doing so ie that the debtor has failed to make arrangements to pay their debt for which a statutory demand has been made all that a judgment debt has not been satisfied.

Cheap money (easy money)
A monetary policy of keeping interest rates at a low level. And this is normally done to encourage an expansion in the level of economic activity by reducing the cost of borrowing and investment. It was used in the 1930s to help recovery after the Depression and during World War Two to reduce the cost of government borrowing.

Collateralised mortgage obligation (CMO)
A US bond secured by a portfolio of mortgages and offering a fixed redemption date.

Debt collection agency
An organisation that specialises in collecting their outstanding debts off its clients, charging at commission for doing so. Because of the historical stigma attached to the phrase " debt collection" these agencies preferred now to be called commercial collection agencies.

Deposit

1. A sum of money paid up by a buyer as part of the sale price of something in order to reserve it (perhaps a mortgage deposit). Depending on the terms agreed, the deposit made all may not be returned if the sale is not completed.
2. A sum of money left with an organisation, such as a bank, for safe keeping ought to earn interest all with a broker-dealer-etc., as a security to cover any trading losses incurred
3. A sum of money paid as the first instalment on a hire purchase agreement. It is usually paid when the buyer takes possession of the goods.

Equity

1. A beneficial interest in an asset. For example, a person having a house worth £100,000 with a mortgage off £20,000 may be said to have an equity of £80,000 in the house.
2. The net assets of a company after all creditors (including their holders of preference shares) have been paid off
3. The amount of money returned to a borrower in a mortgage or hire purchase agreement, after the sale offer the specified asset and their full repayment of the lender of the money.
4. The ordinary share capital of a company

Government and National Mortgage Association (GNMA)
A US government agency that guarantees payment on securities backed by mortgages granted by such national organisations as the Federal Housing Association

Independent financial adviser (IFA)
A person defined under the Financial Services Act 1986 as an adviser who is not committed to the products of any one company or organisation. Such a person is licensed to operate by one of their self regulating organisations or recognised professional bodies. With no loyalties except to the customer, the IFA must offer best advice and from the whole market place. Many categories are of IFA exist grouped into four main areas: advising on investments; arranging and a transacting life assurance, pensions, and unit trusts; arranging and transacting or the Times and investments; and management of investments. Or licensed independent financial advisers contributes to a compensation fund for the protection of their customers.

Interest
The charge made for borrowing a sum of money. The interest rate is the charge made, expressed as a percentage of the total sum loaned, for a stated period of time (usually one year). Thus, a brace of interest of 15 per cent per annum means that for every £100 borrowed for one year, the borrower has to pay a charge off £15, or a charge in proportion for longer or shorter periods. In simple interest, the charge is calculated on the sum loaned only. In general, rates of interest depend on the money supply, the demand for loans, government passe, that this stuff non repayment as assessed by the lender, the period of the loan, and relative levels of foreign exchange rate into other currencies.

Mortgages
A Mortgage is a long term loan repaid over a fixed period of time known as a mortgage term.

Mortgages UK
A Mortgage attained in the UK

buy to let Mortgages
A buy to Let mortgage is for those who wish to buy property in order to rent out.

uk Mortgages
Mortgages undergoing repayment in the UK

100% Mortgages
When you borrow 100% of the mortgage value

best Mortgages
Find the best mortgage at a suitable website try Mortgages-loans-uk.co.uk

halifax Mortgages
Mortgages from the halifax Building Society

cheap Mortgages
A mortgage rate at a low APR is considered cheap

commercial Mortgages
A mortgage provided by commercial lenders , usually at a higher rate than a domestic mortgage

charcoal Mortgages
Try Here http://Mortgages.charcolonline.co.uk

fixed rate Mortgages
A mortgage with an interest rate that will remain at a fixed rate for the entire term of the mortgage

abbey national Mortgages
Mortgages from the Abbey National Building Society

endowment Mortgages
An interest-only mortgage supported by a combined investment and life assurance policy called an endowment policy.

charcol Mortgages
Try Here http://Mortgages.charcolonline.co.uk

flexible Mortgages
Flexible Mortgages are designed allow you to make overpayments and underpayments and you may be able to borrow back money or even take payment holidays.

compare Mortgages
Like most things, shop around and compare mortgage rates and conditions

self certification Mortgages
If you don't receive a regular income or you are self employed you may be able to self-certify your own income also known as a self cert mortgage

Mortgages online
Applying for a mortgage or sourcing one on the internet

offset Mortgages
An offset Mortgages allows you to keep your balances in separate accounts but all balances are offset against each other thus allowing the possibility of reducing the interest paid and could result in the Mortgages being repaid early

buy to let Mortgages uk
A buy to Let mortgage is for those who wish to buy property in order to rent out in the UK.

french Mortgages
Applying for a mortgage in france or a property "en francais"

non status Mortgages
Having no credit history or maybe being self employed means your credit rating has "no status" hence a Non-status mortgage

current account Mortgages
The Current Account Mortgages is a new concept in personal banking, a Current Account Mortgages combines several accounts into one.

online Mortgages
Sourcing a mortgage or Applying for one on the internet

building society Mortgages
Getting a mortgage from a buldi9ng society like "Abbey National"

self build Mortgages
self build Mortgages release staged payments in arrears. the client has to fund the initial stages , or arrange bridging finance to cover the costs.

interest only Mortgages
With an Interest only mortgage, initial repayments for the interest on the loan. When the mortgage term is complete, the original capital borrowed is still owed.

bank of ireland Mortgages
Try http://www.bank-of-ireland.co.uk

cheapest Mortgages
Getting a mortgage at the cheapest rate

re Mortgages
The process of switching your mortgage to another high street bank or lender

self cert Mortgages
Also known as Self Certified or Non-status Mortgages

repayment Mortgages
With repayment Mortgages the whole mortgage is repaid over an fixed period of time, referred to as the mortgage's term.

Mortgages best
Find the best mortgage at a suitable website try Mortgages-loans-uk.co.uk

self certified Mortgages
A.K.A. Self Cert, self certified, Self assessed or Self employed More info

spanish Mortgages
Getting a mortgage for a property in Spain

islamic Mortgages
As written in Islamic law (Shariah) it is forbidden for muslims to pay or receive interest.

• The Murabaha Mortgage Deferred sale finance
• The Ijara Mortgage lease to own

student Mortgages
We only recommend http://www.slc.co.uk/index.html and they don't do Mortgages "good luck"

best buy Mortgages
Find the best mortgage at a suitable website try Mortgages-loans-uk.co.uk

overseas Mortgages
Getting an overseas mortgage for a property abroad

buy to rent Mortgages
See buy to let Mortgages

euro Mortgages
Getting a mortgage in Euro's rather than Sterling

landlord Mortgages
Similar to a buy to let mortgage, obviously for landlords

right to buy Mortgages
If you have been in a council house for some time , you may be able to buy your house at a discount

tracker Mortgages
The interest rate charged tracks Bank Base Rate for the mortgage term.

first time buyer Mortgages
Buying a house for the first time requires a first time buyer mortgage

cashback Mortgages
Cashback Mortgages provide you with a lump sum of cash upon completion of the property purchase, either as a percentage of the mortgage or a fixed sum.

best Mortgages uk
Find the best mortgage at a suitable website try Mortgages-loans-uk.co.uk

home Mortgages
Mortgages for buying a new home

business Mortgages
Similar to a commercial mortgage

Mortgages abroad
Getting an overseas mortgage or "abroad"

graduate Mortgages
You may need a 100% mortgage if you are a graduate paying of a student loan

let to buy Mortgages
See buy to let

adverse credit Mortgages
Adverse Credit is a term used when the borrower has a poor credit history.

shared ownership Mortgages
Shared ownership schemes are to get people on property the ladder.

cash back Mortgages
Cashback Mortgages provide you with a lump sum of cash upon completion of the property purchase.

Mortgages buy to let
See buy to let

Mortgages for first time buyers
Buying a house for the first time requires a first time buyer mortgage

100 Mortgages uk
100% of the mortgage value is borrowed

marine Mortgages
You may need a marine mortgage to buy maybe a canal boat

bad credit Mortgages
see adverse credit

Mortgages on line
well hello

commercial Mortgages uk
See commercial Mortgages

fixed Mortgages
See fixed rate Mortgages

second Mortgages
A.K.A. reMortgages

best uk Mortgages
See best Mortgages

but to let Mortgages
Surely you mean BUY

cheap Mortgages uk
See cheap Mortgages

Mortgages in spain
Mortgages provided by spanish mortgage providers

discount Mortgages
A Discounted Interest Rate Mortgage is set at a percentage lower than the standard variable rate

equity release Mortgages
The Home Equity Release Mortgage is a special kind of loan developed especially for homeowners aged 60 and over.

low cost Mortgages
Mortgages at lowcost

Mortgages for self employed
See self Cert Mortgages

Mortgages explained
See Mortgages explained

self employed Mortgages
See self Cert Mortgages

types of Mortgages
see Other types of Mortgages

fixed rate Mortgages uk
A UK mortgage with an interest rate fixed for the entire term of the mortgage

discounted Mortgages
the lender will offer you a discount off the standard variable rate.

best fixed rate Mortgages
See Fixed rate

best buy to let Mortgages
See Buy to let

offshore Mortgages
Often known as ex-pat Mortgages or overseas Mortgages

foreign Mortgages
See Above

guarantor Mortgages
You can get a relative or "wealthy" friend to be a guarantor and pay the mortgage if you cannot.

125% Mortgages
Getting a mortgage for more than the price property 125%

residential Mortgages
not really sure what one is, although these people do http://www.rbcroyalbank.com/products/Mortgages/

european Mortgages
A mortgage in europe

adverse Mortgages
See adverse credit Mortgages

Mortgages for business
See commercial Mortgages

Mortgages advice
Always seek professional advice regarding Mortgages

southern pacific Mortgages
hawaii here we come

on line Mortgages
See us

intelligent finance Mortgages
Whether you're buying your first home, moving on - or staying put and simply moving your mortgage, Intelligent Finance offers low rates, flexibility and choice you're looking for.

australian Mortgages
Can you spell mortgage upside down

problem Mortgages
Adverse, self cert, bridge you name it there are many problems when getting a mortgage

guide to Mortgages
try Mortgages-loans-uk.co.uk

Mortgages 100%
See 100% Mortgages

Mortgages best deals
Really must I explain this mortgage

Mortgages lenders
Companies that lend money to property seekers

low rate Mortgages
Mortgages set a low APR or Interest rate

british Mortgages
The Same as UK Mortgages

joint Mortgages
A mortgage split be two mortgagees

Mortgages ireland
This is getting tiresome

Mortgages calculator
See www.Mortgages-loans-uk.co.uk/information/mortgage-calculator.htm

international Mortgages
Oh My Word

Mortgages spain
Here we go again

platform Mortgages
Platform is the intermediary lender for the Britannia Building Society and was launched in February 2003. Platform offers a range of Prime and Sub Prime Mortgages and covers both Self Cert and Buy to Let. see http://www.mortgage-saver.net/c_overview.asp?C=OverturePlatform

Mortgages rates
The APR of a mortgage

first time buyers Mortgages
See first time buyers

capped rate Mortgages
The capped rate mortgage is a mixture between fixed rate and a standard variable rate mortgage

contractor Mortgages
Mortgages for contractors

Mortgages comparison
Always check comparisons between different Mortgages providers

Mortgages first time buyers
See first time buyer Mortgages

charcole Mortgages
Ho Ho

first time Mortgages
See first time buyer Mortgages

investment Mortgages
Mortgages for Investing in property

independent Mortgages
Mortgages supplied by a broker who has no vested interest in the mortgage lender

uk Mortgages online
here we are

capped Mortgages
See capped rate Mortgages

black and white Mortgages
try Mortgages-loans-uk.co.uk"MORTGAGES IN BLACK & WHITE"

Mortgages bad credit
See Adverse credit Mortgages

Mortgages in france
Is anybody listening? see spain & Europe

Mortgages england
See mortgages UK

flexible Mortgages uk
See flexible rate Mortgages

if Mortgages
If Only

Mortgages online uk
Were here

british Mortgages abroad
See Overseas Mortgages

compare Mortgages uk
See compare

Mortgages and loans
try Mortgages-loans-uk.co.uk

Mortgages compare
See compare

loans and Mortgages
try Mortgages-loans-uk.co.uk

Mortgages for teachers
listen look & Learn http://www.teachersbs.co.uk/home/Mortgages