Option 1 1.2% Payments Lender Paid Closing Costs *	Option 2 1.2% Payments Borrower Paid Closing Costs		Option 3 Interest Only **** Lender Paid Closing Costs *	Option 4 Interest Only **** Borrower Paid  Closing Costs
Prime rate plus .25%** with a minimum draw of $5,000.00 for 6 months ***. Minimum line of $10,000.00.	Prime rate minus .25%**  Minimum line of $10,000.00.		Prime rate plus .25%** with a minimum draw of $5,000.00 for 6 months ***. Minimum line of $10,000.00.	Prime rate minus .25%**  Minimum line of $10,000.00.
Current Prime Rate is 3.25 %

 

 

* Fraternity pays closing costs on the first $100,000 of the loan. Borrower responsible for appraisal costs if a satisfactory property value can not be determined by means of an automated valuation system.   Closing costs must be repaid if account is closed within first 3 years

** The Annual Percentage Rate (APR) is variable and is based upon the Prime Rate published in the Wall Street Journal (the index) plus or minus the above margins. Life of Loan Floor of APR is 4.50%. Maximum APR is 18%.

*** Failure to maintain $5,000 principal balance for the first 180 days will result in an interest rate of prime plus .75%

**** Interest only first ten years, then payments convert to 1.2% of the outstanding balance


The Accounts have a draw period of 120 months, after which you will be required to repay any amounts within the remaining term and may include a balloon payment.  Negative amortization may occur.
Maximum loan amount $250,000.00.
Home Equity Loans are not available to any borrower who has an option only ARM as a first mortgage.
New Loans Only.
Owner-occupied properties only.
Maximum loan to value is 80%.
The maximum LTV is 75% to any borrower who has an interest only first mortgage.
Account opening fees may be paid to Fraternity and/or third parties and range from $22.00 to $2,500.00.
Consult Tax Advisor about tax deductibility.
Adequate Property Insurance Required.
Inactivity Fee of $25 will be charged annually if account maintains a zero balance for 12 consecutive months.
All loans are subject to an application, acceptable appraisal, credit approval and title search.