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Fully Indexed Rate

   Also found in: Acronyms 0.01 sec.
Fully Indexed Rate

On an ARM, the current value of the interest rate index, plus the margin.

See Adjustable Rate Mortgage (ARM)/The Fully Indexed Rate.



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So going forward, I think the secondary market will have to have a better understanding of these issues, plus improved disclosure for the consumer along with more prudent underwriting criteria, like underwriting at the fully indexed rate and full documentation and two appraisals on super jumbos--go forward to the basics.
Borrowers who get adjustable-rate loans will need to qualify for the fully indexed rate.
Floor: a rate which the note rate or fully indexed rate can never be lower than.
 
 
 
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