ANNUAL CAP
A clause within an adjustable-rate mortgage (ARM) contract which puts limitation on the possible increase in the interest rate of the loan to a specific amount every year. The cap is often specified in terms of rate, but the dollar amount of the interest and principal payment may also be capped as well. The annual caps are created to secure borrowers from an abrupt and excessive increase in the price of the their monthly payment during the times when rates rise intensely over a short span of time.
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Game theory mechanism subject to a payoff matrix similar to a prisoner’s dilemma. Anchored on the concepts of retaliation and altruism, this ...
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Information that must be presented legally anywhere in a lease agreement. These are required by the Federal Reserve Board Regulation M. The lease a ...
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A series of related products which are all made or manufactured by the same company.
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The scientific study on how the mind thinks and how each person reacts as it relates to the process of decision making in economics of individuals ...
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A theory stating the emerging domestic industries must be protected against foreign competition until they become established and mature. In econom ...
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