Special Loan Pricing and Program Rates

This section groups loan-pricing terms that deviate from ordinary fixed-rate or variable-rate interest discussions.

Use it to compare promotional rates, front-loaded interest, rollover pricing, marker rates, and program-specific loan rates.

In this section

• 504 Loan Program: SBA Financing for Fixed Assets and Owner-Occupied Business Growth
  Learn how the SBA 504 loan program works, why the financing stack is split, and when businesses use it for real estate or equipment.
• Front-Loaded Interest: Understanding Heavily Weighted Interest in the Initial Phases of a Loan
  Front-Loaded Interest refers to a financing mechanism where interest payments are weighted more heavily at the beginning of the loan term, making the initial payments comprise mostly interest and less principal.
• Low-Interest Loans: Promoting Affordability Through Reduced Rates
  Loans provided at below-market interest rates to promote affordability and ease financial burden.
• Marker Rate: Base Interest Rate for Variable-Rate Loans
  The marker rate is the base interest rate defined in a loan agreement, to which the spread is added to establish the interest rate payable on a variable-rate loan. Understanding its mechanisms, historical context, and implications are crucial for effective financial management and planning.
• Rollover Loan: Special Mortgage Type with Adjustable Interest Rates
  A detailed explanation of Rollover Loans, a type of mortgage loan commonly used in Canada, that blends long-term amortization with short-term adjustable interest rates.