Example:  Loan Purchase Statement
WAC (Weighted Average Coupon) ARM, Cash

The total disbursement for this type of contract is calculated as follows:

Name

Add or Subtract

Amount

Principal Purchased

$341,361.19

Accrued Interest

+

$        362.69*

Total Fees

+

$     1,706.80*

Premium (Discount)

+

$     6,816.98*

This amount is added or deducted to/from the Total Disbursement depending on the base price: 

  • If the base price is below 100%, this is the Discount and the amount is deducted (a minus). 
  • If the base price is above 100%, this is a Premium and the amount is added, (a plus).

Total Disbursement

=

$346,834.06 (Amount wired to the Seller)

*If this amount is enclosed in parentheses, it is deducted from the Total Disbursement.