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Discount Points |
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Discount PointsThe fee associated with the note rate for your loan, the more discount points you pay the lower the rate you can buy, the fewer you pay, the higher your rate. If the rate is high enough, the loan is priced above par and these premium points are available to pay closing costs creating a no or low fee loan.Discount Points Similar MatchesDiscount ArbitrageDiscount ArbitrageA riskless arbitrage in which a discount option is purchased and an opposite position is taken in the underlying security. The arbitrageur may either buy a call at a discount and simultaneously sell the underlying security (basic call arbitrage) or maybuy a put at a discount and simultaneously buy the underlying security (basic put arbitrage). See also Discount. Discount periodDiscount periodThe period during which a customer can deduct the discount from the net amount of the bill when making payment. Original Issue Discount securities (OIDS)Original Issue Discount securities (OIDS)Bonds on which the coupon rate is set considerably below the yield to maturity at the time of issuance so that the bonds are issued at a discount from a par value. Stepped discount mortgageStepped discount mortgageWhere the discount is, for example, fixed at one level for one year and then a slightly lesser level for two further years. Remember it is the percentage discount that is stepped and not the monetary amount, so your repayment can still vary. Discount brokerDiscount brokerA brokerage house featuring relatively low commission rates in comparison to a full-service broker. Further SuggestionsDiscount securitiesDiscount factor Straight Discount Forward discount Discount period Discounted payback period rule Discounted payback Discounted dividend model (DDM) Original issue discount debt (OID debt) Average discount rate Bank discount basis Discount payment Underwriters discount Pure discount bond Discount rate discounted cashflow bond discount Discount Interest discounted rate mortgage Discount bond Accrued market discount Discount yield Discounted basis Discount window Accretion (of a discount) |
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