Online Loan Glossary
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Margin: an amount the lender adds to an index to determine the interest rate on an adjustable rate mortgage.

Margin: The number of percentage points the lender adds to the index rate to calculate the ARM interest rate at each adjustment.
Margin: The number of percentage points the lender adds to the index rate to determine the annual percentage rate.

Minimum payment: The minimum amount that you must pay (usually monthly) on your account. Under some plans, the minimum payment may cover interest only; under others, it may include both principal and interest.

Mortgage banker: a company that originates loans and resells them to secondary mortgage lenders like :Fannie Mae or Freddie Mac.

Mortgage broker: a firm that originates and processes loans for a number of lenders.

Mortgage insurance premium (MIP): a monthly payment -usually part of the mortgage payment - paid by a borrower for mortgage insurance.

Mortgage insurance: a policy that protects lenders against some or most of the losses that can occur when a borrower defaults on a mortgage loan; mortgage insurance is required primarily for borrowers with a down payment of less than 20% of the home's purchase price.

Mortgage Modification: a loss mitigation option that allows a borrower to refinance and/or extend the term of the mortgage loan and thus reduce the monthly payments.

Mortgage: a lien on the property that secures the Promise to repay a loan.