Dual Apper

AAA

DEFINITION of 'Dual Apper'

A potential mortgage borrower who submits two mortgage applications (here, "apper" is slang for application) simultaneously with different lenders, who are typically mortgage brokers, without the two lenders' knowledge.

A borrower will do this to try to protect themselves from a lender who plays games with loan fees and costs after the application has been taken.

INVESTOPEDIA EXPLAINS 'Dual Apper'

While clearly some unscrupulous lenders try to play games with borrowers by raising interest rates, increasing fees, adding charges or delaying loan processing after the loan origination process has started, "Dual appers" raise the cost of borrowing for all borrowers, since lenders must charge enough to cover all their costs, including aborted loan applications.

A better approach for borrowers is to demand to know a lender's fees for services and shop around before the loan application process begins.

RELATED TERMS
  1. Good Faith Estimate

    An estimate of the fees due at closing for a mortgage loan that ...
  2. Mortgage Broker

    An intermediary who brings mortgage borrowers and mortgage lenders ...
  3. Mortgage Banker

    A company, individual or institution that originates mortgages. ...
  4. Closing Costs

    The expenses, over and above the price of the property that buyers ...
  5. Origination Points

    A type of fee borrowers pay to lenders or loan officers in order ...
  6. Yield Spread Premium

    A form of compensation that a mortgage broker, acting as the ...
Related Articles
  1. 4 Steps To Attaining A Mortgage
    Credit & Loans

    4 Steps To Attaining A Mortgage

  2. Understanding Your Mortgage
    Personal Finance

    Understanding Your Mortgage

  3. Tax Deductions On Mortgage Interest
    Taxes

    Tax Deductions On Mortgage Interest

  4. Steps To Retiring With A Reverse Mortgage
    Retirement

    Steps To Retiring With A Reverse Mortgage

comments powered by Disqus
Hot Definitions
  1. Letter Of Credit

    A letter from a bank guaranteeing that a buyer's payment to a seller will be received on time and for the correct amount. ...
  2. Due Diligence - DD

    1. An investigation or audit of a potential investment. Due diligence serves to confirm all material facts in regards to ...
  3. Certificate Of Deposit - CD

    A savings certificate entitling the bearer to receive interest. A CD bears a maturity date, a specified fixed interest rate ...
  4. Days Sales Of Inventory - DSI

    A financial measure of a company's performance that gives investors an idea of how long it takes a company to turn its inventory ...
  5. Accounts Payable - AP

    An accounting entry that represents an entity's obligation to pay off a short-term debt to its creditors. The accounts payable ...
  6. Ratio Analysis

    Quantitative analysis of information contained in a company’s financial statements. Ratio analysis is based on line items ...
Trading Center