Glossary of Terms
Offer - Indication by a potential buyer of a willingness to purchase a home at a specific price; generally put forth in writing.
On-line - Data processing operations that have direct access to a computer, giving the user direct and immediate access to the computer system via terminal devices.
On-Us-Check - A check that is drawn on our own credit union
Open House - When the seller's real estate agent opens the seller's house to the public. You do not need a real estate agent to attend an open house.
Open-End Credit - A credit plan under which a creditor allows an applicant to make purchases or obtain loans up to a preapproved limit without negotiating a new contract each time.
Opportunity Cost - The cost of passing up one investment in favor of another.
Origination Fee - A fee paid to a lender or mortgage broker for originating a loan application. It may be stated as a percentage of the mortgage amount, or "points", or as a fixed dollar amount and paid at closing.
Origination - The process of preparing, submitting, and evaluating a loan application; generally includes a credit check, verification of employment, and a property appraisal.
Overage - A fee hike designed to give more profit to the lender. Lenders and loan officers sometimes increase their fees to individual customers, and then split the extra profit. Some lenders do not allow overages. When you apply for a loan, be sure to ask, "Do you charge overages?"
Overdraft - A negative balance in an account caused by the amounts of checks or withdrawals being posted to the account exceeding the balance.