7/3 Disclosure 7/3 ARM Loan Term 360 Months Length of time for the loan to be repaid. Interest Only Term N/A During the term, your payment will cover only the cost of the interest. Once this period ends, your payment will increase. Initial Fixed Period 84 Months Your initial rate will be fixed for this amount of time. Once this period ends, your interest rate will be adjusted to the frequency noted below (Subsequent Adjustment Period). Subsequent Adjustment Period 36 Months After the Initial Fixed Period, the interest rate will be adjusted each time this amount of months has passed. Initial Adjustment Cap 2.000% The maximum amount the rate could increase or decrease after the Initial Fixed Period. Periodic Adjustment Cap 2.000% The maximum amount the rate could increase or decrease after each Subsequent Adjustment Period. Maximum Interest Rate Initial Rate + 6.000% The maximum interest rate you could be required to pay. Index Weekly Three Year Constant Maturity Treasury (CMT) A published interest rate used to establish the interest rate offered on an Adjustable Rate Mortgage (ARM). Some of the most common indicators are Treasury Bills, Treasury Securities, Secured Overnight Financing Rate (SOFR) and the Cost of Funds Index (COFI). Current Index Value 4.960% The current value of the index. This value is subject to change without notice. Margin 2.750% The amount added to the Index to determine the rate of each adjustment (subject to any adjustment caps or floors)