Definition Definition

Points

Points— a “point” is the smallest unit of price change quoted, given a conventional number of digits in which a quotation is stated. Deutschemarks per dollar are usually quoted to four decimal points, DM1.5624_$ . In this quote, a change from 1.5624 to 1.5625 would be an increase of one point. A 12 point increase would bring the quote to 1.5636.


Points is an up-front fee often charged a borrower taking on a home mortgage, which is determined by multiplying the loan amount by the number of percentage points, assessed the borrower.

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