IFA - Introducer
IFA
IFA - Independent Financial Advisor In theory, these intermediaries should look at the entire financial market before making a selection and offer unbiased advice and access to all suitable financial products. they sometimes still have access to special deals not on offer elsewhere because they may subscribe to a mortgage panel along with other advisers and brokers. Together they convince lenders to provide special packages in return for their continued custom. The only trouble is that they have to deliver a certain level of business over a year to remain on the panel, so they may favour some products over others.
Impact Fees
Fees collected from developers of new homes to pay for schools, parks and other facilities.
Incidence of Interest Calculation
The frequency that the outstanding interest and ongoing mortgage repayments are calculated. Charging interest on the outstanding balance of your loan at the end of each day, means you reap immediate benefits of any repayments you make, since you will be charged interest on a smaller debt each day. As long as you are making payments on time, the more often interest is calculated the better for you. This is a common feature of flexible mortgages, but is not restricted solely to them. When interest is calculated annually, repayments are not updated to include the reduction in capital that arises from the payments you make throughout the year.
Income Multiples
These are the multiples that Lenders apply to borrowers' income in order to determine the maximum loan they will offer them.
Indemnity
Applies to insurance policies and means the insurer will basically make sure you are no better or worse off in the event of a claim, taking into account wear and tear.
Indemnity Guarantee Premium
Additional one-off fee paid to the lender to protect them against the borrower defaulting. Independent Financial Advisor In theory, these intermediaries should look at the entire financial market before making a selection and offer unbiased advice and access to all suitable financial products. they sometimes still have access to special deals not on offer elsewhere because they may subscribe to a mortgage panel along with other advisers and brokers. Together they convince lenders to provide special packages in return for their continued custom. The only trouble is that they have to deliver a certain level of business over a year to remain on the panel, so they may favour some products over others.
Independent Financial Advisers or IFAs are professionals who offer independent advice on financial matters to their clients and recommend suitable financial products from the whole of the market.
Independent Surveyors Report
A survey will tell you exactly what work needs to be done to the building and whether there are any problems with the property you didn't know about. This can help avoid unpleasant and costly surprises after you have moved in. As the buyer, it is your responsibility to find out what you are committing yourself to. The seller has no liability whatsoever once the purchase is complete.
Index Tracker Mortgage
The interest rate tracks an index such as the base rate or LIBOR and often has a set percentage added to it.
Individual Savings Account
Tax-free savings plans that allow the individual to invest in cash, stocks or shares or insurance.
Inflation
Sustained increase in price or earnings levels, commonly measured by changes in the Retail Prices Index (price inflation) or changes in the index of National Average Earnings (earnings inflation).
Insurable Title
Title to property that a company agrees to insure against defects and disputes.
Insurance Excess
Applies to an insurance claim and is simply the first part of any claim that must be covered by yourself. Increasing your excess can significantly reduce your premium. On the other hand, a waiver can sometimes be paid to eliminate any excess at all. Always check the excess in your policy.
Interest Accrual Rate
The rate at which interest accrues on a mortgage.
Interest Only Mortgages
With this method the initial loan amount remains the same throughout the term of the loan, while the monthly mortgage repayments only pay off the interest being charged on this amount. For this reason, Interest Only mortgages are tied to investment in one of a number of different repayment vehicles, which, ideally, should cover the initial loan amount at the end of the loan term. These repayment vehicles include endowment policies, personal pensions, ISAs etc.
Interim Interest
Any payment due for the period from the day the mortgage began up to the first payment date.
Intermediaries
Brokers and other intermediaries attempt to arrange suitable financial products or policies for you. They can be fully independent, part of a network that uses a panel of providers, or tied to certain institutions in which case they can only sell their products.
Intermediary
Brokers and other intermediaries attempt to arrange suitable financial products or policies for you. They can be fully independent, part of a network that uses a panel of providers, or tied to certain institutions in which case they can only sell their products.
Introducer
Inform borrowers about certain mortgages and ‘introduce’ them to the lender. Introducers receive a fee for passing on new business.