Annual Percentage Rate (APR)
finance charge (including interest, points, and other finance
charges) expressed as a percentage of the amount financed.
a set payment amount is automatically taken out of your account
every month on the day specified.
Collateral (or security)
property pledged as a guarantee that you will repay your loan.
Property such as houses, cars, savings accounts, bonds, or
certificates of deposit are commonly used as collateral.
Credit Agencies/Credit Bureaus
Organizations that collect individual consumer credit information
and provide credit reports to potential lenders, employers,
landlords, etc., for purposes of aiding in their decision-making
The total cost of interest and other charges, direct or indirect,
the borrower must pay to obtain credit.
Fixed Interest Rate
An interest rate the borrower locks into at the origination of the
loan and does not change during the term of the loan.
The indicator of current economic conditions used to determine
changes in adjustable loan interest rate.
A charge for money borrowed generally stated as a percentage of the
A written promise to pay a stipulated sum of money to a party under
mutually agreed upon conditions. Also called a promissory note.
When an overdraft occurs on an account, meaning the balance of the
account becomes negative, funds are automatically transferred from a
line of credit linked to the account to cover the negative balance.
Overdraft protection prevents the consumer from having to pay
Payment Protection Insurance
Credit insurance that provides life insurance which pays a lump sum
toward a personal loan or line of credit upon the death of the
borrower or co-borrower. Also, disability insurance for the primary
borrower that pays monthly benefits toward the loan or line payment
when life insurance is also purchased.
A penalty fee charged to a borrower who pays off a personal loan before the
term of the loan is complete.
The most favorable interest rate charged by lenders on a short-term
personal loan to qualified customers. There is also a prime rate average
listed in the Wall Street Journal that is an average of what the
largest commercial banks charge. Rates (APRs) are established as the
prime rate plus an additional amount.
The loan amount not including interest.
Secured Personal Loan
interest rate personal loan that requires collateral or security of
a savings account, stocks, bonds, certificates of deposit, etc.
The time limit within which a loan must be repaid.
Rights of ownership of property.
Title Insurance (including Owners and Mortgage policy)
which protects the lender and the homeowner against loss resulting
from any defects in the title or claims against a property that were
not uncovered in the title search.
The process of determining risk inherent in a particular loan and
establishing suitable loan terms and conditions.
Unsecured Personal Loans
A fixed interest rate personal loan that requires no collateral or
Variable Interest Rate
An interest rate which is tied to an index, such as the Wall Street
Journal Prime, and fluctuates during the life of the line of credit.
Common Questions -
Payment Calculator -
Loan Programs Offered:
Unsecured Loans -
Debt Consolidation -
Bad Credit Loans -
with No Credit
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- United Personal Loans, Inc.