![logo](https://nhsie.org/wp-content/uploads/2022/10/NHSIE-Main-Logo.png)
Charges levied by the lender based on the loan amount. Each point equals one percent of the loan amount; for example, two points on a $100,000 mortgage is $2,000. Discount points are used to buy down the interest rate. Points can also include a loan origination fee, which is usually one point.
« Back to Glossary Index