What Is Loan Origination Fee?
A loan origination fee is a charge from the lender for processing a new loan application, typically expressed as a percentage of the loan amount.
Example
A 1% origination fee on a $350,000 loan costs $3,500.
Why It Matters
It's one of the larger lender fees on a Loan Estimate — comparing origination fees across lenders is one of the most direct ways to comparison-shop total loan cost.