TAP
- total amount payable - total due to the lender over the lifetime
of the credit agreement, including all fees and other associated charges
from the lender.
tax free cash sum
- optional withdrawal of a lump sum from a pension fund on retirement.
TCC
- total cost of credit (TCC) - total amount payable
under a credit agreement less the principal.
term (mortgage)
- length of time before the mortgage loan must be repaid.
term assurance
- simplest form of life assurance. The insured person or persons
are covered against death within a fixed period subject to the payment
of the premiums as they fall due (normally monthly or yearly).
If an insured person dies within the policy term the sum assured
is paid out. If all insured persons survive the term the premium
has been spent and the insurance ends with nothing being paid to
the policyholders.
thatched roof
- Insurers will normally impose special terms for fire insurance
on thatched properties. It is advisable to check that full fire
cover is available with an insurer acceptable to the lender before
proceeding.
threshold
- loan to value ratio above which mortgage higher
lending charge is payable.
timber framed
- method of house construction.
Timber framed properties have traditionally suffered from poor
damp-proofing and this restricts the number of lenders willing to
accept them as security. Modern building techniques have largely
removed these difficulties and properties constructed since about
1980 should be acceptable security to most lenders.
tracking
- process of following the progress of a loan application. This
information should be fed back from the lender
or packager to the introducer.
top-up loan
- form of second mortgage normally used to provide an overall loan
in excess of the loan to value ratio allowed by the primary lender.
Top up loans will invariably be charged at a higher rate than the
first mortgage and will frequently carry onerous repayment charges.
treasury product
- a mortgage that has conditions that control the future of the
interest rate, so that the rate is not totally subject to market
interest rate movements. Typical examples are fixed
rates and capped rates.
