Indirect Loan

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Dictionary Says

Definition of 'Indirect Loan'

Any loan that is transferred from a dealer who originated the loan to a third party. Any buyer of indirect loans is known as a holder in due course and is now entitled to receive principal and interest payments.

An example of an indirect loan is a car loan offered to a customer at a dealership which is then purchased by the third party at a discount. In this example, the third party never met the borrower but is now entitled to received payments from the loan.
Investopedia Says

Investopedia explains 'Indirect Loan'

A large percentage of outstanding loans are indirect loans. This is especially true in the mortgage industry, where many lenders package their loans and sell them to governmental agencies such as Fannie Mae and Freddie Mac. Banks and finance companies often purchase installment contracts at a discount from dealers at a discount from the face value of the loans. This allows them to get new customers without actually interviewing the borrower.

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Search results for

'Indirect Loan'

  • A Look At The Generation-Skipping Transfer Tax

    http://www.investopedia.com/articles/tax/09/generation-skipping-transfer-tax-gst.asp
    ... There are two types of indirect skips, the taxable termination and the taxable
    distribution. ... $30K HELOC, 4.59%, 4.60%. $30K Home Equity Loan, 5.74%, 5.77%. ...
  • 6 Hidden Government Revenue Streams - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0510/6-Hidden-Government-Revenue-Streams.aspx
    ... Fines, tariffs, estate taxes and lotteries are just a few of the ways that local
    and federal governments bolster their sagging revenue through indirect taxes. ...
  • How To Qualify For The Home-Office Tax Deduction

    http://www.investopedia.com/articles/pf/08/home-office-tax-deduction.asp
    ... 14% from our example). Then the indirect expenses total is added to the total of
    the direct expenses. ... $30K HELOC, 4.59%, 4.60%. $30K Home Equity Loan, 5.74%, 5.77 ...
  • Most and Least Educated States - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0811/Most-and-Least-Educated-States.aspx
    ... Because there is an indirect correlation between education and other metrics, such
    as poverty and crime, it is useful to compare the top states with the worst ...
  • The Cost Of Hiring A New Employee - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0711/The-Cost-Of-Hiring-A-New-Employee.aspx
    ... new hire will demand the entire process, but even an $8/hour employee can end up
    costing a company around $3,500 in turnover costs, both direct and indirect. ...
  • 6 Resume Must-Haves - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0310/6-Resume-Must-Haves.aspx
    ... Consider the difference between these two examples: "managed staff and department
    budget"; "oversaw 14 direct employees and 28 indirect employees in three ...
  • Commute Smart: Save Time, Money And The Earth - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0609/Commute-Smart-Save-Time-Money-And-The-Earth.aspx
    ... following variables: Fuel; Depreciation; Insurance; Wear and tear/maintenance;
    Pollution; Taxes; Tolls; And other indirect costs. For example ...
  • The Cost Of Unemployment To The Economy - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0811/The-Cost-Of-Unemployment-To-The-Economy.aspx
    ... At the same time, the experience of unemployment (either direct or indirect) can
    alter how workers plan for their futures - prolonged unemployment can lead to ...
  • Top Countries For Vices - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/0711/Where-In-The-World-Has-The-Worst-Vices.aspx
    ... Only 26 countries have implemented comprehensive bans on direct and indirect tobacco
    advertising, and many do not have high levels of compliance. ...
  • How To Avoid Online Scams - Investopedia.com

    http://financialedge.investopedia.com/financial-edge/1111/How-To-Avoid-Online-Scams.aspx
    ... them. Today's scammers are more indirect, if just as diabolical. (To protect
    yourself from scams, read Stop Scams In Their Tracks.). ...

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Bank Rates
Product Today Last Wk
$10K MMA 0.50% 0.51%
MMA 0.45% 0.46%
6 Month CD 0.46% 0.47%
1 Year CD 0.70% 0.75%
5 Year CD 1.46% 1.46%
1 Year Jumbo CD 0.66% 0.67%
Rate data provided by Bankrate
Product Today Last Wk
$30K HELOC 4.59% 4.60%
$30K Home Equity Loan 5.74% 5.77%
$50K Home Equity Loan 5.45% 5.50%
$50K HELOC 4.24% 4.24%
$100K Home Equity Loan 5.41% 5.46%
$100K HELOC 4.13% 4.13%
Rate data provided by Bankrate
Product Today Last Wk
30 Year Fixed 3.80% 3.80%
15 Year Fixed 3.09% 3.11%
1 Year ARM 3.54% 3.53%
30 Year Fixed Jumbo 4.38% 4.38%
5/1 ARM 2.65% 2.69%
3/1 ARM 2.69% 2.69%
Rate data provided by Bankrate
Product Today Last Wk
60 Month Used Car Loan 4.51% 4.51%
48 Month Used Car Loan 4.35% 4.35%
48 Month New Car Loan 3.24% 3.24%
36 Month Used Car Loan 4.34% 4.36%
36 Month New Car Loan 3.11% 3.13%
60 Month New Car Loan 3.35% 3.34%
Rate data provided by Bankrate
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