shopping for home loan
Choosing a Loan Provider
The Good Faith Estimate also shows how many "points" you'll be charged for the loan. These represent the amount you're expected to pay as a loan origination fee. Each point is equal to one percent of the loan. If the GFE says you are expected to pay two points on a $100,000 loan, how much money will you be charged for points on this mortgage?
$1,000
$2,000
$3,000
The correct answer is "B". If a lender refuses to provide a Good Faith Estimate on a HUD form, find another lender. Also walk away from anyone who pressures you to use a specific loan provider, or who suggests you make a false statement on the mortgage application. Do not sign documents that include blanks.