Guarantee Fee

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Guarantee Fee

A sum paid by the importer to the guarantor, usually as a percentage per annum of the face value of the bills or notes being guaranteed.

Guarantee Fee

A fee charged to holders of a mortgage-backed security by the issuer. The guarantee fee helps cover the issuer's expenses but its most important use is to lessen the issuer's risk of loss or default in case too many of the mortgages underlying the security themselves default.
References in periodicals archive ?
In the first six months of 2019, non-tax revenues rose by 6.9% due to higher collections of dividend remittances on national government shares of stocks, guarantee fees, and share in the profits of the Philippine Amusement and Gaming Corp.
The bill would amend the Small Business Act to waive up-front guarantee fees for veterans and their spouses participating in the Small Business Administrations (SBA) export promotion loan programs.
'Nontax revenues rose by 17.6 percent due to higher collections of dividend remittances on national government shares of stocks, guarantee fees, and share in the profits of the Philippine Amusement and Gaming Corp.
Financing reflects SBA 10% cash injection, does not reflect additional items to be financed, such as: Working Capital, Closing Costs, and SBA Guarantee Fees.
Non-tax revenues likewise jumped 33 percent to P216.1 billion due to higher collections of dividends on national government shares of stocks, guarantee fees, and share in the profit of the Philippine Amusement and Gaming Corp.
Commitment fees, together with interests, guarantee fees and other charges account for 27.61 percent of the total annual debt payments.
While the regulatory outcome remains uncertain, in a recent letter to the Senate Banking Committee, the FHFA stated that the GSEs should be taken out of conservatorship, that the government must provide an explicit guarantee for catastrophic losses in secondary mortgage markets and that the GSEs should be private corporations with regulated returns through the collection of guarantee fees.
8 Guarantee fee cover of future payments: Analysis carried out on the financial model shows that in 2045, the balance of guarantee fees received fully offsets the outstanding payments on the loan.
Besides, the redemption will also result in the discontinuance of annual payments of USD16.4m by it for these share dividends and the guarantee fees it required to pay the Government of Bermuda, which will be profitable to the bank's earnings going forward.
The redemption will also result in the discontinuance of USD16.4 million in annual payments by Butterfield for Preference Share dividends and the guarantee fees payable to the Government of Bermuda, which will be accretive to earnings going forward.
The redemption will result in the discontinuance of annual payments of USD16.4m in preference share dividends and Government of Bermuda Guarantee fees, equating to USD0.31 per common share based on 53,248,307 common shares outstanding as at 30 September 2016.
Income from single-family guarantee fees grew in the quarter, while revenue from the company's investments portfolio declined due to the mandated shrinkage of that portfolio.