Resubmitting Adjustable Rate Mortgages as Fixed Rate [February 11, 2005]
When changing the amortization type on a loan from an adjustable-rate mortgage
(ARM) to a fixed-rate mortgage, Loan Prospector now provides an error message
reminding you to remove all data from the following ARM-specific data fields:
LoanProspector.com Users:
ARM Adjustment Type
ARM Qualifying Rate
ARM Qualifying PITI
Periodic Cap
Lifetime Cap
Gross Mortgage Margin
Index Code
Initial Index Value
ARM Initial Adjustment period
ARM Subsequent Adjustment Period
Negative Amortization Type
Negative Amortization Percent Limit
If you do not omit data ARM-related data, you’ll receive the following
error message:
LoanProspector.com Users: Upon submission, a Correct Errors message
displays a pop-up window with the following message: “You are attempting
to submit a Fixed Rate ‘Amortization Type’ loan with ARM specific
data. Select OK if you would like the system to delete the ARM related data
fields. Select Cancel to maintain the ARM data. Please note, if you select
Cancel you are required to change ‘Amortization Type’ to ARM
in order to submit the transaction.”
