Since mortgage interest rates are constantly changing, we offer the option of "locking-in" a current Credit Union rate for 60 days to protect you against an increase during the loan process. Once your loan rate is locked, you will receive this rate and the discount points you requested, no matter which way rates move. This means that the interest rate you used to qualify for the loan today will still be the same when the loan closes.

The interest rate will be guaranteed provided you provide all documentation, information, and certifications requested. You must satisfy all loan approval conditions in a timely manner in order to allow us adequate time to process and fund the loan within the lock period.

During your purchase money transaction, you can lock-in an interest rate and discount points if you:

During your refinance transaction, you can lock-in an interest rate and discount points if you:

General Statement

The interest rate market is subject to movement without advance notice. Locking in an interest rate protects you form the time that you enter into a rate lock to the day your lock period expires.

What is a Rate Lock-In Commitment?

A Rate Lock-In Commitment is an arrangement between the borrower and the lender (Star One) that specifies the number of days for which a loan's interest rate and points are guaranteed by the lender. With a rate lock-in commitment, should interest rates rise during the period, Star one is obligated to honor the committed rate. Should interest rates fall during that period, see Lock Changes below. Star One's Rate Lock-In Commitment applies to purchase money transactions and refinances.

How Can I Lock-In?

To lock-in, login to the Star One Home Loan site (Using the user ID and password selected during the initial application process) and select the blue "Lock Loan" button in the Important Actions section.

Star One Credit Union's Rate Lock-In Commitment

Committing to an interest rate lock-in is not a commitment to lend or loan approval or an indication that the loan has been underwritten or approved.

If the loan is approved, closed and disbursed within the rate lock-in period, the rate and discount points shall be as agreed upon by the Credit Union and the borrower. The rate and points will not be increased or decreased as a result of changes in prevailing rates.  

If the loan does not close and disburse by the rate lock-in expiration date, this commitment will automatically terminate. However, the borrower may enter into a new interest rate lock-in commitment with the Credit Union. If the Credit Union is solely responsible for delaying the loan closing beyond the rate lock-in expiration date, the borrower may either extend the rate lock-in expiration date an additional fifteen (15) calendar days, or accept the loan interest rate offered by the Credit Union on the document draw date. The "document draw date" is the date on which the closing loan documents are drawn by the Credit Union.

Rate Lock-ins are not transferable to a different property address. If the property address changes on a locked loan, the lock will be canceled and a new lock will be required at current market rates.

Fees

We do not charge a fee for locking in an interest rate (see Lock Changes below).

Lock Period

We currently offer a 60 day lock-in period. This means the loan must close and disburse within this number of days from the date of the lock-in commitment.

Lock Confirmation

Committing to a lock-in at the time of application or in writing (on a later date) commits you to that rate. Non-receipt of the confirmation does not invalidate the rate lock-in.

Lock Changes

If you lock-in your interest rate and rates decrease, you may request an interest rate re-lock at the lower rate for the remaining commitment period. The fee for a re-lock is $500. Each subsequent relock will require an additional $500 re-lock fee.


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