You are here:About>Home & Garden>Home Buying / Selling> Market Facts & Trends> Glossary> Glossary L> Loan Margin
About.comHome Buying / Selling
Newsletters & RSSEmail to a friendSubmit to Digg

"Loan Margin"

From Elizabeth Weintraub,
Your Guide to Home Buying / Selling.
FREE Newsletter. Sign Up Now!
Definition: The fixed portion of your loan rate which, when added to the index rate, equals your full interest rate.
Examples: If on the adjustment anniversary, an index moves from 2% to 4% with a 2.25% margin, the interest rate charged to the consumer will be 6.25%.
 All Topics | Email Article | | |
Advertising Info | News & Events | Work at About | SiteMap | Reprints | HelpOur Story | Be a Guide
User Agreement | Ethics Policy | Patent Info. | Privacy Policy©2008 About, Inc., A part of The New York Times Company. All rights reserved.