Question

Yana is taking out a mortgage loan and needs to pay a fee to the lender for providing the loan. The fee represents the largest portion of the closing costs. Which type of fee is this?

a) Title insurance
b) Loan origination fee
c) Mortgage insurance premium
d) Appraisal fee

Answer 1

The fee that Yana needs to pay to the lender for providing the loan and represents the largest portion of the closing costs is the Loan origination fee.

Step-by-step explanation:

The type of fee that Yana needs to pay to the lender for providing the loan and represents the largest portion of the closing costs is the Loan origination fee.

This fee is charged by the lender for processing the loan application, including the costs associated with the paperwork, credit checks, and other administrative tasks involved in granting the loan.

The loan origination fee is usually a percentage of the total loan amount and is typically paid upfront or added to the overall loan balance.