Sentences with phrase «borrower deposits money»

For example: a borrower deposits money with the lender to pay taxes and insurance on a property when they become due.

Not exact matches

In a 2014 article the Bank pointed out that «whenever a bank makes a loan, it simultaneously creates a matching deposit in the borrower's bank account, thereby creating new money.»

Borrowers will no longer be able to rely on existing pre-approvals obtained by using the HEM benchmark as they can then find themselves in a position where they have won an auction but then the bank does not give them enough money to settle which would mean losing their deposit.

Banks stay in business by charging more interest on the loans they make to borrowers than what they pay in interest to the investors who deposit their money with the bank.

And the third is the investor, who deposits their money into the financial institution and indirectly funds the loan to the borrower.

The money that you borrow gets deposited directly into the borrower's checking account, which most people find convenient.

No portion of the gift funds can be paid to the Borrower unless the Borrower is being reimbursed for his / her earnest money deposit and pre-paid expenses to the extent the minimum Borrower contribution has been satisfied.

When the proceeds of a private educational loan are deposited into a borrower's bank account for the first time, often that is more money than a student has ever had at their disposal before.

We approve more borrowers then many banks and deposit money directly into your bank account.

The amount deposited with a neutral third - party, called an escrow agent, who holds the borrower's escrow payments to disburse and distribute monies to proper parties involved in a real estate transaction.

For sources that will work to finance the equity portion of the loan, borrowers can use an earnest money deposit or a withdrawal from a savings or checking account or retirement fund.

This money is deposited electronically, so it is quick, easy, and hassle - free for borrowers.

Money is deposited in escrow accounts by borrowers to fulfill debt obligations associated with buying homes.

For example, a borrower may receive a refund of their earnest money deposit, appraisal fee and home inspection fee (as long as they have paid for these and the seller has agreed to refund their payment).

Your deposits into these accounts allow the institutions to use your money to lend to borrowers and each interest on those loans.

The lender will ask the borrower to deposit enough money to bring the loan back to the agreed lending ratio.

With lenders often having access to borrower's checking accounts, they are able to directly deposit money electronically as well as automatically draw funds out of the account for the payment.

VA borrowers will likely need to make an earnest money deposit when they're ready to make an offer on a home.

Also, upon approval, the money is deposited to the borrower's account within 24 hours.

Many sellers want prospective borrowers to put up earnest money, which is similar to a good faith deposit showing they're serious about buying the property.

The money is then deposited directly into the borrower's bank account and the two parties don't need to interact face - to - face with one another.

Once the money is in the borrower's account, the lender may want to see proof of a deposit in the exact amount stated in the gift letter.

However borrowers will need money towards closing costs and the earnest money deposit, which the seller generally requires when a sales contract is signed.

Bank of England's article on money creation states: Whenever a bank makes a loan, it simultaneously creates a matching deposit in the borrower's bank account, thereby creating new money Now when...

For example, if borrowers receive money from parents or family members, they will need to document and explain that deposited check to lenders.

The commitment letter also typically requires the deposit of non-refundable monies from the borrower.

Funds that can be verified as the borrower's own, the source of which can be: (a) monies from borrower's checking or savings account, or other similar time deposit account, which have been on deposit in the account for at least 2 months prior to loan application, (b) cash up to $ 1,000, (c) cash deposit towards property purchase, and (d) the market value of the lot owned by borrower, exclusive of any liens, on which the SONYMA financed home was or will be constructed, or the purchase price of the lot if it was purchased in the past 2 years, whichever is less.

Borrowers may also need money for the earnest - money deposit.