A financial institution may not make or facilitate a residential mortgage loan that includes any provisions that impose negative amortization and which are subject to the interagency guidance on nontraditional mortgage product risks and the statement on subprime mortgage lending.

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Terms Used In Washington Code 19.144.050

  • Amortization: Paying off a loan by regular installments.
  • Mortgage: The written agreement pledging property to a creditor as collateral for a loan.