Point
Author | Jeffrey Lehman, Shirelle Phelps |
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A distinct proposition or QUESTION OF LAW arising or propounded in a case. In the case of shares
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of stock, a point means $1. In the case of bonds a point means $10, since a bond is quoted as a percentage of $1,000. In the case of market averages, the word point means merely that and no more. If, for example, the Dow-Jones Industrial Average rises from 8,349.25 to 8,350.25, it has risen a point. A point in this average, however, is not equivalent to $1.
With respect to the home mortgage finance industry, a fee or charge of one percent of the principal of the loan that is collected by the lender at the time the loan is made and is in...
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