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I

Income stream: A future payment or series of payments, or a debt that one party owes to another party. Also known as a debt instrument or cash flow instrument.

Impound Account: An account held by the lender to which the borrower pays monthly installments, collected as part of the monthly mortgage payment, for annual expenses such as taxes and insurance. The lender disburses impound account funds on behalf of the borrower when they become due. (Also known as Escrow Account.)

Index: A published rate used by lenders that serves as the basis for determining interest rate changes on ARM loans.

Initial Rate: The rate charged during the first interval of an ARM loan.

Institutional lenders: Savings and loan associations, local and regional banks, mortgage companies, finance companies, and commercial lenders.
 
Insurance-based income streams: Cash flows stemming from insurance companies and paid to individuals or businesses.
 
Intangible personal property: Something that has value but is not a tangible asset, for example, a trademark, copyright, patent, or trade secret.

Interest: Charge paid for borrowing money, calculated as a percentage of the remaining balance of the amount borrowed.

Interest Rate: The annual rate of interest on the loan, expressed as a percentage of 100.

Interest Rate Cap: Consumer safeguards which limit the amount the interest rate on an ARM loan can change in an adjustment interval and/or over the life of the loan. For example, if your per-period cap is 1% and your current rate is 7%, then your newly adjusted rate must fall between 6% and 8% regardless of actual changes in the index.

Investment-to-value ratio: A measure of how secure a creditor's position is and how likely the creditor is to recoup all of his or her money in the event of a foreclosure.