Residential Mortgage Loans and Home Equity Lines of Credit: Disclosures & Repayment Examples

 

General Disclosures

  • The term APR stands for Annual Percentage Rate.

  • The Annual Percentage Rate on an Adjustable Rate Mortgage (ARM) may increase after consummation.

  • The interest rate and APR on an ARM loan is based on 12-month LIBOR (the “Index" of 2.754 as of 05/16/2018) plus a margin of 2.25% (the “Margin”) and is variable and subject to increase or decrease, so your payments may increase or decrease each year after the initial period.

  • The actual interest rate, APR, and payment may vary based on the specific terms of the loan selected, verification of information, your credit history, the location and type of property, and other factors as determined by us.

  • The Monthly Payments shown below do not include amounts for real estate taxes and insurance premiums, such as homeowners or private mortgage insurance.  For Residential Mortgage Loans escrow account for these amounts is required and will mean your actual Monthly Payment will be higher.

  • Rates are subject to change daily without notice.

  • There is no prepayment penalty.

  • All loans are subject to credit approval.

  • The Repayment Examples shown below are based on:

    • A credit score of 740 or higher;

    • For Residential Mortgage Loans, the purpose of the loan is to purchase an existing single family home located in the state of Connecticut that will be used as your primary residence, a 20% down payment, and that the Loan to Value does not exceed 80%. The disclosed APR is based on 0.0% discount points, $597 origination fees, and $0 in additional prepaid finance charges due at closing.

    • For Home Equity Lines of Credit, the property securing the loan is an existing single family home or condominium located in the State of Connecticut that will be used as your primary residence and the aggregate of the Loan Amount and any superior lien on the property is $500,000 or less.  The disclosed APR is based on $0 origination fee and $0 in additional prepaid finance charges due at closing.

 

Residential Mortgage Loans

30 Year Fixed Rate Example (See the General Disclosures above for important information)

For a $453,100 loan amount with a 30-year fully amortizing repayment term at a 4.750% interest rate, the APR for this loan would be 4.757%.  The monthly payment schedule would be:

  • 359 monthly payments of $2,363.58; and

  • 1 final monthly payment of $2,366.76.


15 Year Fixed Rate Example (See the General Disclosures above for important information)

For a $453,100 loan amount with a 15-year fully amortizing repayment term at a 4.250% interest rate, the APR for this loan would be 4.262%.  The monthly payment schedule would be:

  • 179 monthly payments of $3,408.57; and

  • 1 final monthly payment of $3,409.52.

 

10/1 Adjustable Rate Mortgage Example (See the General Disclosures above for important information)

For a $453,100 loan amount with a 30-year fully amortizing term at an initial 4.125% interest rate, the APR for this loan would be 4.459%.  After the tenth year initial period, the variable interest rate and payment will adjust and equal the total of the Index plus the Margin.  In the eleventh year, even if market rates do not change, this rate could increase to 9.125%.  The maximum initial change in the interest rate is 5.00%.  Thereafter, the variable interest rate and payment could adjust each year and equal the total of the index plus the margin.  The maximum periodic change in the interest rate is 2.00%.  The maximum rate increase would be 5.00% above the initial interest rate and the maximum interest rate ever would be 9.125%.  If the interest rate adjusted to the maximum rate (which could not occur until after the tenth year), the maximum monthly payment would be $3,254.13.  Based on the initial interest rate, the payment schedule would be:

  • 120 monthly payments of $2,195.95;

  • 239 monthly payments of $2,365.75; and

  • 1 final monthly payment of $2,365.00.

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7/1 Adjustable Rate Mortgage Example (See the General Disclosures above for important information)

For a $453,100 loan amount with a 30-year fully amortizing term at an initial 3.875% interest rate, the APR for this loan would be 4.467%.  After the seven year initial period, the variable interest rate and payment will adjust and equal the total of the Index plus the Margin.  In the eighth year, even if market rates do not change, this rate could increase to 8.875%.  The maximum initial change in the interest rate is 5.00%.  Thereafter, the variable interest rate and payment could adjust each year and equal the total of the index plus the margin.  The maximum periodic change in the interest rate is 2.00%.  The maximum rate increase would be 5.00% above the initial interest rate and the maximum interest rate ever would be 8.875%.  If the interest rate adjusted to the maximum rate (which could not occur until after the seventh year), the maximum monthly payment would be $3,308.44.  Based on the initial interest rate, the payment schedule would be:

  • 84 monthly payments of $2,130.64;

  • 275 monthly payments of $2,378.30; and

  • 1 final monthly payment of $2,373.05.


5/1 Adjustable Rate Mortgage Example (See the General Disclosures above for important information)

For a $453,100 loan amount with a 30-year fully amortizing term at an initial 3.750% interest rate, the APR for this loan would be 4.550%.  After the fifty year initial period, the variable interest rate and payment will adjust and equal the total of the Index plus the Margin.  In the sixth year, even if market rates do not change, this rate could increase to 8.750%.  The maximum initial change in the interest rate is 5.00%.  Thereafter, the variable interest rate and payment could adjust each year and equal the total of the index plus the margin.  The maximum periodic change in the interest rate is 2.00%.  The maximum rate increase would be 5.00% above the initial interest rate and the maximum interest rate ever would be 8.750%.  If the interest rate adjusted to the maximum rate (which could not occur until after the fifth year), the maximum monthly payment would be $3,355.50.  Based on the initial interest rate, the payment schedule would be:

  • 60 monthly payments of $2,098.38;

  • 299 monthly payments of $2,385.95; and

  • 1 final monthly payment of $2,383.97.

 

Home Equity Lines of Credit

Home Equity Line of Credit – Prime Minus (See the General Disclosures above for important information. The Loan to Value of the Home Equity Line of Credit and any other loan secured by the property does not exceed 75%.)

The Rate is indexed to the daily Prime Rate, as published in the Wall Street Journal (WSJ) (4.75% as of 05/16/2018), plus a margin of 0.00% for the full term of the loan.  Rate is discounted 0.50% for the first 15 months.  The discounted rate will be variable and indexed to the Prime Rate plus a margin of 0.00% and can change monthly, but will not exceed 18.00%.  To receive the discounted rate an initial draw of $25,000 is required at closing and must be maintained as an average loan balance for the first 15 months.  In addition, the minimum monthly payment must be made by AutoPay from a First County Bank checking account.  If you do not maintain the minimum loan balance and/or AutoPay you will be charged a one-time $500 fee and you will lose the 0.50% rate discount.  Discounted rate period available only on new loans.  This loan will be secured by your dwelling.  Property insurance is required.  Consult a tax advisor regarding deductibility of interest and charges.  Existing First County Bank Home Equity Line of Credit customers are not eligible for this offer.

 

Home Equity Line of Credit – Prime (See the General Disclosures above for important information. The Loan to Value of the Home Equity Line of Credit and any other loan secured by the property does not exceed 80%.)

The Rate is index to the daily Prime Rate, as published in the Wall Street Journal (WSJ) (4.75% as of 05/16/2018) plus a margin of 0.00% for the full term of the loan.  The rate is a variable rate and can change monthly, but will not exceed 18.00%.  This loan will be secured by your dwelling.  Property insurance is required.  Consult a tax advisor regarding deductibility of interest and charges.  Existing First County Bank Home Equity Line of Credit customers are not eligible for this offer.