Illustration
An illustration is given to a potential borrower showing the cost of a mortgage on a monthly basis together with any other expenses incurred with the loan.
Impaired credit
The credit rating of someone who has been declared bankrupt, has a CCJ or may be behind with the repayment of a mortgage or personal loan.
Income multiplier
A method used by lenders to calculate how much they will lend you depending on your annual income. Typically, they will multiply your income by three. If you are applying jointly with someone, they will multiply your joint income by two and a half. If you have other loan commitments, the lender may reduce the multiple.
Independent Financial Adviser (IFA)
A person or firm regulated to provide investment advice. An IFA is able to choose from a range of products unlike a tied adviser who can only advise on the products of the company they are tied to.
A type of mortgage where the interest rate tracks a market rate such as the Bank of England base rate. See 'Tracker Mortgages' in our 'Mortgages Explained' section for a detailed explanation.
Initial interest
The payment which covers the period between the date of completion and the date when the first mortgage payment is due.
Initial rate
This is the interest rate that is paid from the beginning of the mortgage to the end of the initial rate period. This usually relates to fixed and discount mortgages which may have an initial rate of interest lower than the normal variable rate. At the end of the initial period the normal variable rate will be payable.
Interest
The amount of return a lender will receive for lending you money.
Interest calculated
Used for guidance purposes only, this figure indicates the interest which is payable on a typical mortgage.
Interest only
A type of mortgage where monthly payments only pay off the interest but do not pay off the amount borrowed. See 'Interest Only Mortgages' in our 'Mortgages Explained' section for a detailed explanation.
Intermediary
We are an intermediary. An intermediary introduces borrowers to lenders and can often undertake some of the mortgage processing for the lender. We receive a commission from some lenders for completed mortgages introduced to them. This fee does not in any way affect your mortgage.
Introducer
See Intermediary.
ISA
An Individual Savings Account. This is a savings product with certain tax benefits and can be used to help pay off a mortgage. It is essential that you seek independent financial advice when considering an ISA backed mortgage.