Mortgage Loan Disclosure: Page 4 Details

Page 4 of the Loan Disclosure is NOT just standardized same-for-every-loan boilerplate.  Review Page 4 on your disclosure carefully, including these terms:

• Partial Payments — what policies does the lender provide?
• Late Payments — what penalties apply, after what period of time?
• Negative Amortization — are payments that do not fully cover the interest due allowed? Do they result in increased loan principal?
• Early Repayment, or “Demand”.  Can the lender require earlier repayment than originally scheduled?
• Assumable/Assumption:  If you sell or transfer the property, can the loan also be transferred?
• Escrow Account details — study these to be clear on which costs are covered, and which are not.