Peteter Vinogradov:  Hello.I'm your  customer. My name is Peter Vinogradov.I'm come to ask you for some information of co-op loan policy.          
 
Bank clerk:How much would you like to borrow?                         

P.V.:120,000dollars.                      

Clerk:Presenty our bank offers adjustable interest rates for co-op.  Eixed rates are offered only   to home buyers.  
                        
P.V.: Whate is the difference between an adjustable rate and a fixed rate?      

Clerk:An adjustable rate mortgage is  a loan wrete the interest may be adjusted according to prevailing market rates.  
If you applyfor aco-op loan,your rate will  be adjusted at the end of the  year. Until the end of the year, you are locked   into  a specific  rate.      
At the end of each year, the rate can be reassesed. Do you follow  me?               

P.V.: Yes,Ido.  What about fixed rates?

Clerk:A fixed rate mortgage is a  loan where the interest rate remains the same for the entire term of the mortgage, for instance, for        
15 or 30 years.                            

P.V.:What is the adjustable rate for a 120.000 dollar co-op loan?              

Clerk:7.625%+2.25 points.                 

P.B.:Could you explain to me what  a point is?                           

Clerk:A point is 1 percent of the amount you are borrowing.                  

P.V.:How much would 2.25 points be  in my particular case?                

Clerk:2.25 points would equal 2.700  dollars.Once you are approved,you are locked into that rate.                   

P.V.:Who approves my application?

Clerk:The bank's real estate department.                                      

P.V.:What information does the bank  require for  approving a co-op loan?       

Clerk:Your employer will have to verify your income.Besides you'll have  to submit a credit report.The bank  will find out if there are any out
standing debts.                              

P.V.:What proof of income is required if I am self-employed?   
                   
Clerk:A copy of your recent income  tax return is required.       
             
P.V.:Thank you very much for your  detailed information.                      

Clerk:You are welcome.