Initial Rate Period

Initial Rate Period

The number of months for which the initial interest rate holds on an ARM.

See Adjustable Rate Mortgage (ARM)/How the Interest Rate on an ARM Is Determined.

References in periodicals archive ?
During the Initial Rate Period, the Series 4 VRDP Shares were not to be remarketed by a remarketing agent, subject to optional or mandatory tender events, or supported by a liquidity provider.
Highlights of the Bank's mortgage products include one clubcard point for every GBP4 spent on monthly repayments, the chance to make regular or lump sum overpayments of up to 20% of the outstanding balance each year during the initial rate period without an Early Repayment Charge and free standard legal fees and the first standard valuation.
All the mortgages would allow customers to make regular or lump-sum overpayments of up to 20% of the outstanding balance each year during the initial rate period, without incurring an early repayment charge.
In the case of ARMs with a very low initial rate, the interest-only period is always longer than the initial rate period, loan, example, ml ARM with an interest-only option for 10 years may have an initial rate period of six months.
Today, NVG's Series 4 VRDP Shares successfully transitioned from an Initial Rate Period to Minimum Rate Periods.
Included in the new range is 1.69% for the two year fixed LTV product; flexibility to make regular or lump sum over-payments of up to 20% of the outstanding balance during the initial rate period without having to pay an Early Repayment Charge; and one Clubcard point for every GBP4 spent on monthly repayments.
"Typically, the highest rates either have an introductory bonus or a guaranteed minimum rate, so it makes sense to use them and switch to another such account when the bonus or initial rate period ends."
IF you have signed up to a bargain credit card with a 0 per cent introductory rate to cover the cost of Christmas, make a note in your diary of the date that the initial rate period expires, and aim to clear the debt by then.
During the Initial Rate Period the holders of each fund's AMTP Shares will receive a variable rate dividend based on the Securities Industry and Financial Markets Association Municipal Swap Index (SIFMA).
Tesco Bank added that its mortgage products provide a flexibility that allows customers to make regular or lump sum overpayments of up to 20% of the outstanding balance each year during the initial rate period, without having to pay an Early Repayment Charge.

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