I am not as familiar (forunately) with all the machinations of ARMs — is the 6 mo. prepayment pentaly:
a) a prepayment penalty that is in effect for six months after loan originates (in other words, you could pay off after 7 months)? If this the case – how much is the penalty?
or
b) is the penalty six months worth of interest? If this it the case, how long is prohibition on repaying?
