Ask Bill your personal finance question

Pay Option Arm Advice

Where can I find a 5yr fixed with a start rate between a 1 or 2 percent and with a full rate between a 6 or 7 percent?

Where can I find a 5yr fixed with a start rate between a 1 or 2 percent and with a full rate between a 6 or 7 percent?

Read full question
Bill's Answer
(6 Votes) | Find Learn Save

Wow! You know what you are looking for... so first of all, congrats on doing your financial homework (you are in the minority of consumers of financial products, unfortunately).

What you are looking for is a pay option ARM. 1% - 2% percent on the Negative amortization payment is possible, but a fully indexed rate between 6% - 7% is not out there currently.

The only place that could possibly offer something like this is World Savings because they're a portfolio lender. I also know that Quicken Loans is pushing hard on Pay Option Arms these days as well.

If you want an introduction to pre-screened mortgage lenders, makes it easy to compare mortgage offers and different loan types. Please visit the loan page and find a loan that meets your needs at:

Sounds like you are a pro, but to learn more about refinance loans, I encourage you to visit the Home Refinance Information page at

If you enter your contact information in the Savings Center at the top of the page, we can have several pre-screened lenders contact you to discuss the refinance options available to you. I wish you the best of luck in finding a loan the meets your needs, and hope that the information I have provided helps you Find. Learn. Save.



Get Mortgage Rates!
(6 Votes)

People also like to Read

Daniel Cohen

FHA Loans | FHA Loans have huge benefits, including VERY low down payments and low credit limits. Get FREE info on FHA loans... Read more >>

Betsalel Cohen

Mortgage Basics - Down-payment, Equity, and LTV | Learn about mortgage terms relating to your property's value and how it aff... Read more >>

Betsalel Cohen

Whether you are refinancing or buying a home you will ask yourself if you can afford the mortgage. Learn to prepare and evalu... Read more >>

Betsalel Cohen

Qualify for a Mortgage | You can get qualified for a mortgage and the best rates by preparing yourself. Make sure that your c... Read more >>

Betsalel Cohen

Obama Passes HARP, but borrowers are looking for HARP 3.0 Mortgage Refinance programs. When a HARP 3 update is announced, you... Read more >>

Mark Cappel

Applying for a mortgage with bad credit and a spouse isn't as difficult as you may think. Learn the what lenders look for whe... Read more >>

Betsalel Cohen

PMI | If you are looking to buy a house and take a mortgage loan with a low down payment then PMI can...... Read more >>

Brad Stroh

Refinance My Home? If you are asking 'Should I refinance my mortgage?' or 'Is refinancing my home a good?', then check out ... Read more >>


1500 characters remaining