Definition of Terms:
Loan - A loan is a debt backed up by a note which specifies, among other things, the principal amount, interest rate, and date of repayment.
Debt - A debt is an obligation owed by a borrower to a lender.
Note - A promissory note is a legal instrument or a financial instrument, in which one party (the maker or issuer) promises in writing to pay a determinate sum of money to the other (the payee), either at a fixed or determinable future time or on demand of the payee, under specific terms. If the promissory note is unconditional and readily salable, it is called a negotiable instrument.
Foreclosure - The process of taking possession of a mortgaged property as a result of the mortgagor's failure to keep up mortgage payments.
Brokers - An individual or firm that charges a fee or commission for executing buy and sell orders submitted by an investor
Bad Credit - A qualification of an individual's credit history that indicates that a borrower carries a higher credit risk. A low credit score indicates bad credit, while a high credit score is an indicator of good credit. Creditors who have lent money to an individual with bad credit face a higher risk of that individual missing payments or defaulting.
Equity - The money value of a property or of an interest in a propoerty in excess of claims or liens against it
Liens - The security of interest created by a mortgage
Pacto de resto sale - a landowner is need of money and basically mortgages his / her property with the option of buying the property back in the future
Bankruptcy - Is a legal status, imposed by court of a person or an entity that cannot repay debts to its debtor.
Consolidator - Someone who combines your debts to make it one for debt consolidation