1. Fees assessed by a lender on a borrower during closing proceedings for the loan. These fees encompass a variety of charges for administration and processing of the loan. Most of these charges are bogus in nature and used by the lender in order to increase the profit they receive from providing the loan. For example, "Amy borrowed $300,000 from her local bank to purchase a home. She was surprised by a number of junk fees that were assessed to the base loan amount during her closing." 2. A list of fees charged by an institution in order to increase its profit on the transaction. Things such as processing, administration, or verification fees are examples of some common junk fees. The amounts may be minimal, but over time they can cost a consumer a lot of unnecessary money.

Related information about junk fees:

1. Junk Fees Definition | Investopedia
   Nebulous charges assessed at the closing of a mortgage that go to the originator or lender. These fees are hidden in the mortgage documents and are usually ...
    
2. Cut your closing costs by getting rid of junk fees - chicagotribune.com
   Jan 6, 2012 ... Not only are many lending charges disguised, some are downright garbage. Hey, they're not called junk fees for nothing.
    
3. A Layman's Guide to Mortgage Application Junk Fees « Len Penzo ...
   Feb 7, 2009 ... Junk fees refer to lender or loan broker fees charged to cover company overhead . Lenders use a variety of junk fees to boost their profits. Yes ...
    
4. Know Which 'Junk Fees' to Trash
   Jun 24, 2007 ... Q: I have a few questions about mortgage closing costs, "junk fees" in particular, such as document prep, origination, underwriting and ...
    
5. Junk Fees or Hidden Mortgage Fees
   Junk fees or hidden mortgage fees are up front charges made by a lender. These junk fees are expressed in dollars rather than as percentages of the loan and ...
    
6. How to Avoid Junk Fees When Buying a House - ABC News
   Mar 9, 2006 ... Americans spend $110 billion a year buying houses -- and that doesn't include the cost of the homes, just the cost of the loans. A Money ...
    
7. Mortgage Closing Costs: What is Real and What is Junk ...
   Oct 1, 2011 ... Well, most of the things that people talk about as junk fees aren't junk ... Nonetheless things that really are junk fees are a real problem, but the ...
    
8. What Are Mortgage Broker Junk Fees?
   A real estate transaction's closing costs can add up for the borrower. Make sure you understand what each fee is and whether it is really necessary.