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In the
6
change will occur (for example, if the first adjustment is scheduled to occur in 24
months, enter that number here.)
In the
7
each period.
In the
8
adjustment for the remainder of the loan (for example, every six months).
In the
9
for the life of the loan.
10 In the
lender's loan program. To show a worst case scenario, leave the
11 Complete the Payment Adjustments part of the
section.
When the
same as the Interest Only __ months field when it is completed. When it is not checked,
the Initial Payment Rate period is not based purely on the interest. Only after the initial
payment rate period has been satisfied will the
a
b
c
d
e
f
Customizing payment schedules
When you click the Calculate button and a payment schedule is displayed on the screen,
select the
change the number of payments, the interest rate, and the monthly payment amounts. The
result of any customization is reflected in the remaining amounts in the Balance column
and
Total Pmts
You can customize the payment schedule automatically or manually. For example, you
can show a prospect the effect of paying an extra amount on a regular basis, such as
$500 every six months.
Customizing automatically
When you select the
Payment Schedule
To add an automatic payment, complete the
1
amount and the frequency of the payment.
Click the Calculate button to recalculate the amortization figures.
2
Point User Guide
field, enter the number of months until the first percentage
1st Change__mths
field, enter the maximum percentage that the rate will increase for
Adj Cap __%
field, enter the number of months between each rate
Adj Period__mths
field, enter the maximum percentage to which the rate will increase
Life Cap__%
and
Margin__%
Index__%
Interest Only During Initial Pmt Rate Period
In the Adj Cap__% field, enter the percent that payment should increase for a
certain amount of time (for example, 7.5%)
In the Adj Period__mths field, enter the number of months that the payment
should change.
In the
Recast Pd/Stop __/__mths
is re-amortized to pay off the loan. Also enter when the negative amortization will
stop. These numbers are usually the same.
In the
field, enter the percentage rate of the original balance that the
Max Bal__%
principal balance can reach (for example 110%).
Click the Calculate button to display the payment schedule.
Click the Monthly Sch button to view a monthly payment schedule.
Customize Payment Schedule
field.
Customize Payment Schedule
section of the
fields, enter the margin and index based your
Potential Negative Amortization
Interest Only __ mths
fields, enter the number of months until the loan
check box to customize the schedule. You can
check box, the grayed-out fields in the
Amortization Schedule
Extra Payment
Amortization schedules
field blank.
Index
is checked, it functions the
field take effect.
screen enable for editing.
fields, including the
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