What is the net loan proceeds for a loan with an initial balance of $150,307.57, a monthly payment of $1,000, and discount points of 3.53%?

To determine the net loan proceeds, it's essential to consider the initial loan amount and subtract any costs associated with securing the loan, in this case, the discount points.

The given initial balance of the loan is $150,307.57, and the discount points are expressed as a percentage of that balance. Specifically, discount points are prepaid interest lenders charge to lower the interest rate on the loan. Each point typically costs 1% of the loan amount.

Calculating the amount deducted for the discount points involves multiplying the initial loan amount by the discount points percentage. Here, the calculation would be as follows:

1. Calculate the dollar value of the discount points: [ \text{Discount Points} = 150,307.57 \times 0.0353 = 5,299.80 ]

2. Now, subtract the discount points from the initial loan amount to find the net loan proceeds: [ \text{Net Loan Proceeds} = 150,307.57 - 5,299.80 = 145,007.77 ]

When rounded to the nearest whole number, this gives us net loan proceeds of approximately $145,008. Since the closest answer choice