verb (used without object), prorated, prorating. 1. to make an arrangement on a basis of proportional distribution. verb (used with object), prorated, prorating. 2. to divide, distribute, or calculate proportionately. Origin of prorate.
Origination charge: The VA allows lenders to charge up to 1 percent of the loan amount to cover origination, processing and underwriting costs. They can choose to either charge you a flat 1 percent origination fee, or pick and choose among a host of fees, so long as they add up to no more than 1 percent.
It is also common for VA lenders to charge origination fees of up to one percent of the loan. Also, lenders may charge one or two rate reduction (or âdiscountâ) points.. States may have limits on origination and point reduction fees for VA and other home loans.t is also common for VA lenders to charge origination fees of up to one percent of the loan. Also, lenders may charge one or two rate reduction (or âdiscountâ) points.. States may have limits on origination and point reduction fees for VA and other home loans.