Principal

I don’t understand the phrase Principal. Can you Explain?

We hope you find this glossary of some help in understanding the term Principal. Please use our glossary again for more financial phrases like Principal. We hope you find them equally helpful.

Now you know what Principal means, try Charge-off

What Not to do when taking a mortgage or loan

Don’t fall for a loan from a door-to-door salesman or home improvement contractor who comes to your home. Don’t take out a loan on your property for anyone else unless you can afford to lose that money forever. Don’t decide whether you can afford a loan by the monthly payments alone. Don’t sign anything that has blank spaces. 

If you’re like most homeowners, your house is the most important and valuable thing you own. The money you’ve put into your home can enable you to borrow money with a home equity loan. Your home secures the loan—unfortunately, you can lose your home if you are unable to make the loan payments.

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