LoanStreet allows you to sell loan assignments at par, a premium to par, discount to par or with an interest rate spread.
Selling a loan assignment at par means that the purchaser buys $1 of principal amount of the loan for every dollar paid. For example, purchaser pays $100 to own $100 of principal amount of the loan.
Selling a loan assignment at a premium to par means that the purchaser buys $1 of principal amount of the loan for every dollar plus the premium paid. For example, if you set a premium of 102, the purchaser must pay $102 to purchase $100 of the principal amount of the loan.
Selling a loan assignment at a discount to par means that the purchaser buys $1 of principal amount of the loan for less than a dollar paid. For example, if you set a discount of 98, the purchaser buys $100 of principal amount of the loan for every $98 the purchaser pays to you.
Selling a loan assignment with an interest rate spread means that the purchaser is only entitled to an amount of interest on the loan equal to the interest rate the borrower pays less the interest rate spread. For example, if you set an interest rate spread of .25% on a Fixed 5% loan, the purchaser is only entitled to receive 4.75% of interest
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For any loan, LoanStreet allows you to change the premium or discount at any time as it only affects the next purchaser. However, interest rate spreads are the same for the whole syndicate. Therefore, once set, interest rate spreads can only be changed with the approval of the entire syndicate. For more detail, please refer to the Master Terms of Syndication.