AR301

{INSERT LOGO HERE}

3175 - 3180[DA1]                                                                                                                                  

2976 – 3005

3006 – 3035

3036 – 3065

3066 – 3095

3096 – 3125

3126 – 3146, 3147 – 3148 3149 – 3153 – 3154 – 3157

Loan Number:

Under the terms of your Adjustable-Rate Mortgage (ARM), you had a [2379 – 2380] month(s) period during which your interest rate stayed the same. That period ends on [0097-0102], so on that date your interest rate and mortgage payment change. After that, your interest rate may change every [1361-1362] month(s) for the rest of your loan term. Also, as of [3721-3726] your mortgage payment will include principal as well as interest.[K2] 

Interest Rate:

We calculated your interest rate by taking a published “index rate” and adding a certain number of percentage points, called the “margin”. Under your loan agreement, your index rate is [2485 – 2534] and your margin is [0132 – 0135]. The [2485 – 2534] index is published [2709-2714] in the [3392 – 3470].

Alternate paragraph if ‘0127-0127’ = 6 To calculate the new interest rate, we determined the change between the base index figure of 1271 - 1274% and the current index figure of 0062 - 0065%. The current index figure is the most recent index figure available 0163 - 0164 days prior to each change date. If the current index figure is larger than the base index figure, we will add the amount of the change to the initial interest rate. If the current index figure is smaller than the base index figure, we will subtract the amount of the change from the initial interest rate. The result of this addition or subtraction will be the preliminary rate. The preliminary rate will be adjusted based on whether there is a limit (cap) on interest rate changes and apply rounding. Under your loan agreement, your index rate is the 2485 – 2534 index and is published 3388 - 3391 in the 3392 – 3470.

Rate Limit[s]: Your rate cannot go higher than 0334 - 0337% over the life if the loan[CJ3] . Your rate can change every [1361-1362] by no more than 0224-0227%.[CJ4]  [DA5] 

New Interest Rate and Monthly Payment: The table above shows your new interest rate and new monthly payment. Your new payment is based on the 2485 – 2534 index, your margin (0132 -0135), your loan balance $0694 - 0700, and your remaining loan term of 0701 – 0702 months.

Interest-Only Payments: If A518 DIST-TYPE-1-INT-ONLY-FLAG 3720 = 'Y', and A488 DIST-TYPE-1-INT-ONLY-EXP-DATE 3721-3726 greater than A234 ARM-IR-CHG-DATE DATE-CALC-FOR in position 0020 – 0025 minus 1 month, then print the paragraph. Your new payment will not cover any principal. Therefore, making this payment will not reduce your loan balance.

Warning about Increase in Your Loan Balance: If A187 835-841 Max-Prin-Bal-Neg-Am GT ‘0’ (zero), and A158 0703-0709 New PI < A159 0710-0716 New-PI-Fully-Am, then print the paragraph. Your minimum payment amount covers only part of the interest and no principal. Therefore, the unpaid interest will add to the balance of the loan. [In order to fully pay off your loan by the end of the loan term at the new interest rate, you would have to pay $0710 – 0716 per month.

Prepayment Penalty: If 3727 = Y and M671 PPP-PAYOFF-EXPIRE-DT 3731-3736 less than A234 ARM-IR-CHG-DATE DATE-CALC-FOR in position 0020 – 0025 minus 1 month, then print the paragraph. Keep in mind that if you pay off your loan, refinance or sell your home before 3731 - 3736, you could be charged a penalty. Contact @Company Long Name@ at @CS Phone Number@ for more information, such as the maximum amount of the penalty you could be charged. Representatives are available @Hours of Operation@. If 3727 = N None.

If you Anticipate Problems Making Your Payments:

·         Contact @Company Long Name@ at @CS Phone Number@ to be connected to a Customer Service Representative who can answer your questions regarding the notice or by email at @CS Email@ as soon as possible. Representatives are available @Hours of Operation@.

·         If you seek an alternative to the upcoming changes to your interest rate and payment, the following options may be possible (most are subject to lender approval).

o    Refinance your loan with another lender:

o    Sell your home and use the proceeds to pay off your current loan:

o    Modify your loan terms with us:

o    Payment forbearance temporarily gives you more time to pay your monthly payment.

·         If you would like contact information for counseling agencies or programs in your area, call the U.S. Department of Housing and Urban Development (HUD) at 800-569-4287 or visit www.hud.gov/offices/hsg/sfh/hcc/hcs.cfm or the U.S. Consumer Financial Protection Bureau (CFPB) at http://www.consumerfinance.gov/. If you would like contact information for a state housing finance agency, contact the U.S. Consumer Financial Protection Bureau (CFPB) at http:/www.consumerfinance.gov.

________________________________________________________________________________________

If you have set up recurring auto-draft payments, your auto-draft will change to the monthly amount included in the chart in the notice above on the date indicated in the notice above.

@Company Long Name@ is committed to providing excellent customer service. Should you have additional questions, please contact us at @CS Phone Number@. Representatives are available @Hours of Operation@.

Sincerely,

Loan Administration
@Company Long Name@

(See disclosures on next page)

Insert PLS Appropriate Disclosures Here                                               

 [DA1]Logo should be conditional based on PLS ID

 [K2]Condition: If A518 DIST-TYPE-1-INT-ONLY-FLAG 3720 = 'Y', and A488 DIST-TYPE-1-INT-ONLY-EXP-DATE 3721-3726  greater than A234 ARM-IR-CHG-DATE DATE-CALC-FOR in position 0020 – 0025 minus 1 month, then print this sentence.

 [CJ3]If 0334-0337% is a 0 or 99.99999%, this sentence should read: Your loan does not have a life of the loan interest ceiling.

-        [CJ4]If 0224-0227% and 0228-0231% are both 0, this sentence should read: Your rate for each change period has no interest rate change caps.

-       If 0224-0227% = 0 and 0228-0231% > 0, this sentence should read: Your rate for each change period can change by no less than 0228-0231%.

-        If 0224-0227% > 0 and 0228-0231% = 0, this sentence should read: Your rate for each change period can change by no more than 0224-0227%.

 [DA5]8/17/2023 - verbiage changes in this paragraph which are hard to see due to the comments attached to the paragraph.