What are “points”, or loan origination fees?

Mortgages Read more from
Chapter Saving, Managing Debt, and Budgeting

Lenders charge points for mortgages, including fixed-fee mortgages. One point represents 1% of the loan amount. Not all lenders charge points for loans, so shop around to find the lowest fees.


This is a web preview of the "The Handy Investing Answer Book" app. Many features only work on your mobile device. If you like what you see, we hope you will consider buying. Get the App