Origination

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Origination

The making of mortgage loans.

Origination

The act of making a mortgage loan. Origination is usually a rather lengthy process, as it requires the lender to investigate the borrower's risk, negotiate the terms of the loan and agree upon a loan amount. It is also called loan origination. See also: Origination fee.
References in periodicals archive ?
91 requires financial institutions to defer certain loan origination costs for book purposes and to recognize them as an adjustment to the loan yield (i.
The IRS has been at odds with financial institution taxpayers over the treatment of loan origination costs since the adoption of SFAS No.