3 Year Rate Protection Promise
Feel ConfidentWhen you close your loan with Intelliloan, you’ll receive 3 years of rate protection.
We understand that the market can change on a dime, and want to make sure that you have the best deal for your home loan. If rates drop up to 3 years after your loan closes, we’ll refinance your rate with no additional closing costs to you! Certain restrictions apply. Contact us for a new refinance at no cost to you!
Intelliloan promises that should fixed interest rates fall below the borrower's current fixed rate on their Intelliloan loan, the borrower may take advantage of the Rate Protection Promise, which provides an opportunity to refinance to that lower fixed rate on a 15 or 30 year term, subject to agency loan limits effective at the time of the borrower’s new loan application.
This Rate Protection Promise may be exercised at any time after the first 100 days from closing of the borrower’s loan, until the Third yearly anniversary of the loan closing.
We’ve got you covered
To be eligible for the Rate Protection Promise, the borrower’s current loan must be a first mortgage, and the loan type of the borrower’s new loan must be the same as their current loan. In order to be covered under the Rate Protection Promise, the borrower must meet certain terms and conditions.Those terms and conditions are:
- The borrower must notify Intelliloan that they wish to exercise option under the Rate Protection Promise
- The borrower must provide Intelliloan with all information requested by Intelliloan or the investors it does business with, in order to determine the borrower creditworthiness
- Both the borrower and the borrower's property must RE-QUALIFY for the new loan, based on FNMA/FHLMC guidelines in effect at the time the borrower want to exercise the Rate Protection Promise, and at the time the new loan closes
- The borrower must sign and submit a new loan application, and execute a new set of loan documents to affect the Rate Protection Promise
- The borrower will be responsible for $0 in non-recurring costs associated with obtaining a new loan (i.e. lender fees, appraisal, credit, escrow, title, recording, notary, courier, etc.) and the borrower will be responsible for all recurring costs that may be required to be paid, by the lender, (i.e.; prepaid interest, real and personal property taxes, insurance premiums, HOA dues, and any other costs or expenses for which the borrower would normally be required to pay)
- The borrower must provide an appraisal deposit to Intelliloan after borrower has executed their Intent to Proceed, said deposit will be returned as a credit through the closing of the new, but if loan fails to close, the deposit is nonrefundable
- If applicable, the borrower shall be responsible for the payment of all prepayment penalties and costs associated with the payoff of the existing loan.
The new, fixed interest rate will be calculated as follows: the base rate will be equal to the Federal National Mortgage Association's required 60 day yield for 30 year fixed rate mortgages, plus one-half of one percentage point (.50%) rounded up to the nearest one-eighth of one percentage point (0.125%), added to the base rate will be all applicable agency adjustments to price in effect at the time of application. If this required 60 day yield cannot be determined because applicable commitments are not available, Intelliloan will determine the interest rate using 30 Year Treasury Yields plus one and one half of a percentage point (1.50%). All lock-in commitments will be for a period of 30 days from date of the loan application. This Rate Protection Promise expires Three (3) years from the closing date of the borrower’s current loan.
Certain exclusions may apply. The Rate Protection Promise can be exercised only one time, and does not apply to the new loan originated under the Rate Protection Promise.