This is a great way to gauge the honesty of the finance people you're working with.The finance fee may come in the form of a discount point or a yield spread premium rebate from the lender or a loan origination fee. (fhaloanpros.com)
And you typically need to pay extra for this IO option, in the form of discount points, which can increase closing costs. (thetruthaboutmortgage.com)
Tax Situation Would I benefit from making a «prepaid interest» payment in the form of discount points? (joemetzler.com)