What Is the Scheduled Mortgage Payment?
July 10, 2007
The scheduled mortgage payment is the amount the borrower is obliged to pay each period, including interest, principal, and mortgage insurance, under the terms of the mortgage contract. Paying less than the scheduled amount results in delinquency.
On most mortgages, the scheduled payment is the fully amortizing payment throughout the life of the loan. On mortgages with an interest-only option, the scheduled payment for the first 5 or 10 years is the interest payment (see Interest Only Mortgages). And on option (flexible payment) ARMs, it is the "minimum" payment as defined by the program (see Option (Flexible Payment) ARMs).
A mortgage on which the borrower is obliged only to maintain a balance at or below a specified level each period, there would be no scheduled payment. See How Would a Truly Flexible Mortgage Work?
The scheduled mortgage payment is the amount the borrower is obliged to pay each period, including interest, principal, and mortgage insurance, under the terms of the mortgage contract. Paying less than the scheduled amount results in delinquency.
On most mortgages, the scheduled payment is the fully amortizing payment throughout the life of the loan. On mortgages with an interest-only option, the scheduled payment for the first 5 or 10 years is the interest payment (see Interest Only Mortgages). And on option (flexible payment) ARMs, it is the "minimum" payment as defined by the program (see Option (Flexible Payment) ARMs).
A mortgage on which the borrower is obliged only to maintain a balance at or below a specified level each period, there would be no scheduled payment. See How Would a Truly Flexible Mortgage Work?