GLS Loan Closing Course Help close     A B C D E F G H I J K L M N O P Q R S T U V W X Y Z               -B- Top         Borrower- The term borrower refers to one or more individuals who are receiving Agency assistance. The proposed borrower under a loan application may be referred to as the borrower.         -C- Top         Closing Date -In real estate, refers to the delivery of a deed, financial adjustments, the signing of notes and the disbursement of funds necessary to consummate a sale or loan transaction.           Conditional Commitment- Rural Development’s notice to the Lender that the material it has submitted is approved subject to the completion of all conditions and requirements set forth in the notice.  Provided in document form utilizing Form RD 1980-18, “Conditional Commitment for Single Family Housing Loan Guarantee.”         -E- Top         eAuthentication- A government-wide security access system. Log-in security for all system users includes screening by the eAuthentication process.         -G- Top         Guaranteed Interest Rate - The interest rate guaranteed as reflected on the Loan Note Guarantee.     Guarantee Fee - A nonrefundable fee paid by the Lender, which is passed on to the borrower. The one time fee is calculated based upon a percentage of the loan guarantee request.     Guaranteed loan - A loan made, held, and serviced by a Lender for which Rural Development has entered into an agreement with the Lender to reimburse for losses up to the amount guaranteed.     Guaranteed Loan Closing Report - Form RD 1980-19, "Guaranteed Loan Closing Report," is the Lender's notification to Rural Development that loan closing has occurred.     GLP - Guaranteed Loan Program. The guaranteed loan program objective is to assist eligible households in obtaining adequate but modest, decent, safe, and sanitary dwellings and related facilities for their own use in rural areas by guaranteeing sound loans which otherwise would not be made without a guarantee.     GLS - Guaranteed Loan System. GLS supports the collection of application information for guaranteed loans.   Access to GLS is limited to authorized users.  Loans submitted in GUS will be electronically moved into GLS for final processing by Rural Development staff.         -H- Top         HUD-1 Settlement Statement- The Settlement Statement is a loan closing document detailing the accounting of funds from a real estate sale made to both seller and buyer separately. GRH. Guaranteed Rural Housing.         -I- Top         Interest Rate - Percentage paid for the use of money, usually expressed as an annual percentage.     Interest Rate Basis - The accrual basis of an interest calculation is a convention whereby an interest amount is calculated from the principal, expressed in units of a specified currency, and a percentage, and an agreed start and end date.         -L- Top         Lender - The organization making, holding, and/or servicing the loan which is guaranteed under Rural Development guidelines. The Lender is also the party requesting the guarantee. The Lender includes an entity purchasing a Rural Development guaranteed loan.           Lender Certification - A document, represented by the using the reverse side of Form RD 1980-18, “Conditional Commitment for Single Family Housing Loan Gaurantee.”  This document accompanies the lender’s report of loan closing and request for Loan Note Guarantee.  The lender certifies all conditions of the commitment have been met, no changes have occurred since issuance of the commitment, any planned acquisition is complete, the loan has been properly closed, lien priority obtained and a clean and defensible title to the property has been obtained.           Lender record change - Form RD 1980-11, "Guaranteed Rural Housing Lender Record Change," is the Lender's notice to Rural Development of a change of Lender or a change of servicer.           Loan Application - Document required by a lender prior to issuing a loan commitment.  It generally includes information regarding the borrower, amount and terms of loan, description of subject property to be mortgaged, and borrowers financial and employment data.  Data from the loan application is transferred in the automated underwriting system to receiving a loan recommendation.           Loan Note Guarantee - Form RD 1980-17, "Loan Note Guarantee," is the signed commitment issued by Rural Development setting forth the terms and conditions of the guarantee.           Loan Originator - A representative who works directly with an applicant and assembles the application package.         -M- Top         Maturity Date - The date when the loan will be paid in full.  This date must be 30 years from the closing date.         -P- Top         Promissory Note - A contract detailing the terms of a promise by a borrower to pay a sum of money back to the lender.         -R- Top         Required Fields - Minimum required data fields, indicated by a symbol, and are required prior to successfully saving a transaction.         -S- Top         Servicing Lender - A lender who is responsible for the act of billing, collecting payment, and filing reports for a mortgage loan.  A servicer may also perform loan analysis, default follow up and management of tax and insurance escrow accounts.           SFHGLP - Single Family Housing Guaranteed Loan Program. The purpose of the program is to assist low and moderate income individuals and families acquire or construct a single family residence in a rural area with loans made by private lenders. Eligibility for this program includes low- and moderate-income families or persons whose income does not exceed 115 percent of the median income for the area, as determined by the Secretary.