Is a Fee charged for a Lock-In?

Part 3

This is part three of a nine part article on the understanding of Mortgage Lock-Ins.

Is a Fee charged for a Lock-In?

Some lenders do charge a fee for doing a Lock-In. They can charge an up-front fee and may not allow it to be refundable should you change your mind on the mortgage application and decide not to do the mortgage. Some lenders do not refund this fee also if you are denied credit or if you do not close on the loan. Some lenders charge the fee at the time of settlement. This fee can be a flat fee, a percentage of the mortgage amount or a fraction of a percentage point added to the rate you Lock-In. The amount of the fee and how it is charged is up to each lender. It could also depend on the length of the Lock-In period.

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