Finance
What is 'loan origination fee' in Rhode Island mortgage lending?
AThe interest charged on the first payment
BA fee charged by the lender for processing and originating the mortgage loan, typically expressed as a percentage of the loan amount✓ Correct
CA state fee charged on all Rhode Island mortgages
DThe title insurance premium
Explanation
A loan origination fee is charged by the lender for underwriting, processing, and making the loan. It is typically expressed as a percentage of the loan amount (1 point = 1%) and is disclosed in the Loan Estimate and Closing Disclosure.
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