payment-option

Hundreds of thousands of payment-option ARMs are scheduled to recast next spring, which everyone expects to cause a wave of delinquencies.

Congress and the Countrywide Scandal 2008

Right now, nearly a third of Countrywide's mortgage portfolio is composed of an especially chancy loan called a "payment-option ARM."

Congress and the Countrywide Scandal 2008

Publicly, Mr. Dodd has been critical of some of the mortgages in which Countrywide specialized, such as loans known as "payment-option ARMs," adjustable-rate mortgages that give borrowers multiple payment options each month.

Dodd Tied to Countrywide Loans 2008

The 56-year-old leadership and communications trainer in Carlsbad, Calif., got a 30-year payment-option ARM in 2006.

Some Consumers Say Wall Street Failed Them 2008

Also known as negative-amortization loans, payment-option ARMs allow borrowers to pay less than the interest owed each month, with the shortfall added to the principal balance.

Congress and the Countrywide Scandal 2008

These mortgages, which are sometimes known as "pick-a-pay" or payment-option mortgages but are generically called option adjustable-rate mortgages, are turning out, in some cases, to be even more caustic than subprime loans, in part because the loan balance and the monthly payments on some loans is growing even as home prices are falling.

Defaults Rising Rapidly 2008

Wachovia holds more than $122 billion in Pick-A-Pay loans, or "payment-option" loans that allow borrowers to choose from four monthly payments, including an interest-only option that actually increases the loan's balance.

Wachovia Posts $8.66 Billion Loss, 2008

A letter from Countrywide Financial Corp disputed regulators' assessment of risks, saying payment-option adjustable mortgages have been tested in previous economic cycles and are fundamentally sound loan products.

Dodging The Bullet Matthew Swibel 2006

A letter from Countrywide Financial Corp. disputed regulators' assessment of risks, saying payment-option adjustable mortgages have been tested in previous economic cycles and are fundamentally sound loan products.

Dodging A Bullet 2006

For certain payment-option loan borrowers who are underwater in part because of the negative amortization features of the mortgage itself, the bank will forgive the negative amortization amount down to a 95 percent LTV level.

The Seattle Times 2010