Mortgage Recast Program
Lower Your Monthly Payment – Without Refinancing
At Phoenixville Federal Bank & Trust, we’re committed to helping you make the most of your mortgage. OurMortgage Recast Programgives you a simple way to reduce your monthly payment – without the time, cost, or paperwork of refinancing.
What Is a Mortgage Recast?
A mortgage recast allows you to make a large payment toward your loan principal, after which your monthly payment is recalculated based on your new, lower balance.
- No new loan
- No credit check
- No change to your interest rate or term
It’s a smart way to improve your monthly cash flow while keeping the mortgage you already have.
How It Works
- Make a Lump-Sum Payment
- Apply a significant payment directly to your principal (minimum requirements apply).
- We Recalculate Your Payment
- We re-amortize your remaining balance based on your existing rate and term.
- Enjoy a Lower Monthly Payment
- Your payment is reduced moving forward – giving you more flexibility in your monthly budget.
Why Consider a Recast?
- Lower Monthly Payments
- Reduce your financial burden without extending your loan term.
- Save on Closing Costs
- Avoid the expenses typically associated with refinancing.
- Keep Your Current Rate
- Especially beneficial if you already have a competitive interest rate.
- Build Equity Faster
- Your lump-sum payment immediately reduces your loan balance.
Program Guidelines
- Eligibility:Available for current, performing conventional mortgage loans
- Minimum Principal Payment:$5,000 or 10% of your outstanding balance (whichever is greater)
- Processing Fee:$500 per recast request
Is a Mortgage Recast Right for You?
A recast may be a great option if you’ve recently received a bonus, inheritance, or proceeds from the sale of a home and want to reduce your monthly expenses—without refinancing.
For more information please contact:
Allen R. Kramer
Executive Vice President /
Chief Lending Officer / Retail Lending
NMLS ID#493972
610-933-1000
akramer@phoenixfed.com