I'm refinancing my house and my new lender said we are going through their "retail arm". What does that mean? I thought arm meant adjustable rate mortgage, but we're going FHA fixed rate. I'm lost. Help please!
2007-09-19 04:02:10 · 7 answers · asked by kitty 2 in Business & Finance ➔ Renting & Real Estate
a retail arm means they also have wholesale division meaning they give lower rates to brokers who then mark up the rate to get yield spread.
most loans have what is called yield spread premium meaning they make more money by raising the rate slightly and get a rebate from the lender. when you are on the retail side they automatically raise the rate to get the rebate. yield spread premium is not disclosed when the lending source is the bank. this mean you will never see what you paid in yield spread premium in this case. (them being the bank) they dont have to disclose it!
as far a the rate being fixed if they say its fixed its fixed. chances are if you shop you will find the fixed rate can be lower!
they are the only one i know if that doesnt allow they're people to charge it as a rule!
some lenders don't allow yield spread premium they are very rare. the benifit to borrowers is that you get a lower rate to begin with!
2007-09-19 05:02:18 · answer #1 · answered by Anonymous · 0⤊ 0⤋
Retail Arm
2017-01-19 16:08:54 · answer #2 · answered by bruckner 4 · 0⤊ 0⤋
He probably meant to say the retail portion of their business. They likely do a lot of work through brokers which wouldn't be the retail 'arm'.
He didn't mean Adjustable Rate Mortgage. I would verify just to be sure.
2007-09-19 04:15:59 · answer #3 · answered by Rush is a band 7 · 0⤊ 0⤋
The retail arm means that they arent doing your loan through their wholesale branch. Most lenders have a retail side & a wholesale side. The retail arm will cater to borrowers themselves and the wholesale arm will cater to brokers. Its just another way of saying their retail branch. Good Luck!!!!
2007-09-19 04:17:12 · answer #4 · answered by jojogala 3 · 0⤊ 0⤋
As a professional dog trainer for over 16 years, I have to tell you my strong opinion that you need these group classes for obedience training. http://OnlineDogTraining.enle.info/?wYzL
Other pet warehouses are there to get you to buy their products and hang around their strore. And their trainers are their employees...never forget they have an agenda. Most of the trainers have very little education--if they had actual training and skills they wouldn't be there making just over minimum wage--trust me on this. But even if they did have experience and talent...a group setting is a terrible place for learning to take place. It's distraction training and it is the LAST phase of training not the first. You wouldn't have your child try to do their homework in a toy store, would you? Of course not...the level of distraction would be too high! It's the same with dogs. Having said that, these classes can be an excellent way to socialize dogs...but not to train them. And while they appear to be cheaper than a professional trainer...you have to attend many more sessions to get the same results because of the poor learning environment--so you wind up spending MORE money for less training than you would with a professional. Save your money and go to someone who actually knows how to train dogs. OR, read books and try to train your dog yourself. There is nothing they train at a Petsmart or Petco that you can't do yourself with a couple of hours of reading.
2017-02-16 04:21:27 · answer #5 · answered by zook 4 · 0⤊ 0⤋
Don't be ashamed to ask your lender to explain it to you. Even if they told you once before just tell them you still don't understand. You NEED to know before you sign any papers at all! I would be confused, also, to tell you the truth.
2007-09-19 04:12:21 · answer #6 · answered by DPL06351 5 · 0⤊ 0⤋
It depends..
2016-08-24 16:37:20 · answer #7 · answered by ? 4 · 0⤊ 0⤋