Adjustable-rate mortgage (ARM)

By |2013-09-23T15:46:27+00:00September 23rd, 2013|

A mortgage that provides predetermined adjustments of the loan interest loan interest rate at preset regular intervals based on an established and agreed factor or index. The interest rate is adjusted at each interval to a rate equivalent to the index value plus a predetermined and agreed upon spread or margin, above the index.

 

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