Mortgage Terminology

3. a line of credit loan that uses the equity in the borrower's home—that is, the difference between their home’s value and mortgage balance—as collateral
5. similar to PMI but used when the loan is FHA (Federal Housing Administration).
8. is insurance coverage that homeowners are required to have if they’re putting down less than 20% of the home’s cost and the loan is conventional
9. is an acronym for a mortgage payment that is the sum of monthly Principal, Interest, Taxes, and Insurance.
10. is a record of activity for any type of credit extended to a borrower and reported to a credit reporting agency.
11. a thing that is borrowed, especially a sum of money that is expected to be paid back with interest

1. type of credit repayment that permits individuals repay the principal over a lengthy period of time through regular monthly payments called an amortization schedule
2. type of credit repayment that allow borrowers to use a line of credit according to the terms of the contract, which do not have fixed payments.
4. This is a detailed report of a borrower's credit history given to the credit reporting agency/bureaus by lenders who have extended credit to the borrower.
6. cost of using the bank's money (loan) charged to the borrower by the lender
7. a company that collects information relating to the credit ratings of individuals and makes it available to credit card companies, financial institutions, etc
8. the original sum of money borrowed in a loan and the amount that must be paid back