SAN JOSE, Calif. -- Alliance CU has combined the features of the fixed-rate mortgage and an adjustable-rate mortgage into a 5/5 ARM.

This new 5/5 ARM option includes five years of low and locked-in payments with rate subject to change every five years, interest rate changes limited to 2% for each adjustment period and 5% over the life of the loan, and a maximum term of 30 years.

The 5/5 ARM offers greater payment stability than the 5/1 ARM since rates and payments are fixed for five-year intervals.

 

 

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