Common use of Effect if interest is more than the instalment Clause in Contracts

Effect if interest is more than the instalment. For any variable rate mortgage product, when the interest rate goes up, the instalment may not be enough to pay all of the interest and the remaining actual amortization period increases. When this occurs what is owed increases and you must pay compound interest. If this happens and if we ask, you may be required to do one or more of the following so the loan will be repaid over the remaining contractual amortization period: • Immediately pay us the excess. • Pay us a higher instalment, beginning on the next instalment date, and going on until the balance due date. We fix the amount of the higher instalment to cover any expected rate increase, or to stop what is owed from increasing. • Convert the loan to a fixed rate term if the contract gives you an option to do so. If you choose to pay us a higher instalment so that the loan will be repaid over the remaining contractual amortization, you can't lower it under section 5.14.2 or 5.17.2.

Effect if interest is more than the instalment. For any variable rate mortgage product, when the interest rate goes up, the instalment may not be enough to pay all of the interest and the remaining actual amortization period increases. When this occurs what is owed increases and you must pay compound interest. If this happens and if we ask, you may be required to do one or more of the following so the loan will be repaid over the remaining contractual amortization period: •  Immediately pay us the excess. •  Pay us a higher instalment, beginning on the next instalment date, and going on until the balance due date. We fix the amount of the higher instalment to cover any expected rate increase, or to stop what is owed from increasing. •  Convert the loan to a fixed rate term if the contract gives you an option to do so.  If you choose to pay us a higher instalment so that the loan will be repaid over the remaining contractual amortization, you can't lower it under section 5.14.2 or 5.17.2.

Effect if interest is more than the instalment. For any variable rate mortgage product, when the interest rate goes up, the instalment may not be enough to pay all of the interest and the remaining actual amortization period increases. When this occurs what is owed increases and you must pay compound interest. If this happens and if we ask, you may be required to do one or more of the following so the loan will be repaid over the remaining contractual amortization period: • Immediately pay us the excess. • Pay us a higher instalment, beginning on the next instalment date, and going on until the balance due date. We fix the amount of the higher instalment to cover any expected rate increase, or to stop what is owed from increasing. • Convert the loan to a fixed rate term if the contract gives you an option to do so. If you choose to pay us a higher instalment so that the loan will be repaid over the remaining contractual amortization, you can't lower it under section 5.14.2 sections 7.14.2 or 5.17.27.17.2.

Effect if interest is more than the instalment. For any variable rate mortgage product, when the interest rate goes up, the instalment may not be enough to pay all of the interest and the remaining actual amortization period increases. When this occurs what is owed increases and you must pay compound interest. If this happens and if we ask, you may be required to do one or more of the following so the loan will be repaid over the remaining contractual amortization period: •  Immediately pay us the excess. •  Pay us a higher instalment, beginning on the next instalment date, and going on until the balance due date. We fix the amount of the higher instalment to cover any expected rate increase, or to stop what is owed from increasing. •  Convert the loan to a fixed rate term if the contract gives you an option to do so. If you choose to pay us a higher instalment so that the loan will be repaid over the remaining contractual amortization, you can't lower it under section 5.14.2 or 5.17.2.