Carrying a Note - Posted by chill

Posted by chill on May 23, 1999 at 08:59:46:

We are in the process of financing a mobile home – the buyers are willing to pay an additional 10% up front to get the loan.


For tax purposes, what should this be called? Some could be admin. costs of setting up the loan. But is it basically going to come down as prepaid interest?

Second, is there a law about the limit that can be charged? We are in Texas.