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Mortgage Terms D
It is provided for information only.
D
Daily interest
Interest is calculated on the balance outstanding each day. So, when you make a payment, interest is calculated on the new balance straightaway. This is usually better than annual interest.
Defective title policy
Is an insurance policy taken out where a defect in the title to the property has been discovered. Where a defect has been discovered, C&G would insist on the policy to protect our security.
Deposit
Two deposits may be payable by the buyer:
1. A reservation charge. The buyer pays this as a sign of commitment when they initially agree to buy the property.
2. The deposit. A percentage of the price of the property, paid when contracts are exchanged.
Drawdown date
Drawdown is the date when the mortgage starts.
Drawdown deadline
Some mortgage funds are available for a limited period only and usually these mortgages must start by a certain date - the drawdown deadline.
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