Mortgage recasting is an option for your mortgage loan that allows for a lower monthly payment with the same interest rate. Recasting has two benefits, lower monthly payments and less interest paid over the life of the loan.
A mortgage recast can be requested after the following conditions are met:
- A minimum principal curtailment payment of the lesser of $5,000 or 10% of the current principal balance made within 60 days of the recast request.
- At least one payment has been made to the loan at the current principal and interest amount prior to recast.
Once these conditions are met, a mortgage recast request can be submitted by doing the following:
- Submit a letter of intent in writing to recast the mortgage, signed by at least one borrower listed on the loan. For example “We are applying $XX.xx to our mortgage and want our mortgage recasted.”
- Submit a $250.00 check made payable to Fulton Bank. This check is not cashed until the recast is completed, if you decide not to go through with the recast then the check will be returned.
Please mail the check and letter of intent to:
Mortgage Quality Control
1695 State Street
East Petersburg, PA 17520