McLEAN, Va. - (06/06/05) -- Freddie Mac said it plans to startpurchasing option-adjusted adjustable-rate mortgages later thisyear as it tries to catch up with the market and the Wall Streetconduits These adjustable rate mortgages offer borrowers severalpayment options, including interest-only payments, to addressdifferent and changing needs. Option-ARMs are especially popular onthe East and West coasts and lenders are originating tens ofbillions of these loans each month, Freddie vice president JamesCotton said. "The street is telling us that?s where the ARM marketis going," he added. The secondary market agency plans to startpurchasing option ARMs in bulk by the end of the year. And it wantsto start buying loans on a flow basis in 2006. The Freddieoption-ARM will allow borrowers to chose from four payment optionseach time they write a monthly mortgage check. The first optionallows borrowers to make a minimum payment; a second option is aninterest-only payment; while the third and fourth options allowborrower to chose between a 15-year or 30-year fully amortizingpayment.
-
The Wisconsin banking company forecasted loan growth of 4% to 6% for the full year, driven by an expansion into new commercial and consumer credit lines as well as enduring economic strength in the Midwest.
26m ago -
In the inaugural iteration of American Banker's news quiz, test your knowledge on top articles covering the legal battles of the Consumer Financial Protection Bureau, new technology testing at JPMorgan Chase, earnings season and more.
44m ago -
To build their executive presence in meetings and on video calls, junior employees should embrace flexible schedules — and possibly media training, Michelle Young of Worldpay and Anna Greenwald of MoneyGram International said at American Banker's Payments Forum.
2h ago -
Liberty Bank in Salt Lake City had been "structurally unprofitable" since 2008, according to its regulators. Experts criticized the FDIC for allowing the bank's demise to play out in slow motion.
April 25 -
The New York-based bank says it will push its concentration of commercial real estate loans below 400% of risk-based capital over the next two years and focus more on C&I.
April 25 -
The San Francisco-based firm's Anchorage Digital Trusted Liquidity and Settlement network, better known as Atlas, will allow clients to settle a range of cryptocurrency transactions.
April 25