Financing Options for Purchase or Refinance

• Fixed-Rate Mortgages

  A traditional fixed-rate mortgage may be appropriate if you want a set principal and interest payment throughout the life of the loan. With a fixed-rate mortgage, future interest rate changes won’t change your monthly payment.
  • Predictable, fixed monthly principal and interest payments for the life of the loan
  • No interest rate risk; the mortgage rate is locked in for the life of the loan
  • We offer financings up to $2 million (Including jumbo loans with loan balances greater than $417,000, the current federal limit for most conventional mortgage financing)
  • Most loans are serviced through Old Second
  • Automatic payment options available through O2 Online Banking when you have a checking or a savings account

• Adjustable-Rate Mortgages (ARM)

  An Old Second adjustable-rate mortgage (ARM) may be appropriate if you plan on moving or selling your home within a specific time frame or if you want the flexibility of lower monthly mortgage payments in the early stages of your payback period. An Old Second residential lender can provide details of how ARMs work and help you decide if an ARM may be appropriate for your situation.

  • Lower initial interest rate than a fixed-rate mortgage
  • Lower initial monthly payments than a fixed-rate mortgage
  • Provides greater home-buying power due to the lower initial monthly payments
  • We offer ARMs with a variety of terms to match your circumstances
  • Rates may be based on the 1-year Constant Maturity Treasury index (CMT) or 1-year LIBOR
  • After the initial period of the loan, the interest rate is subject to regular adjustments based on the value of the underlying index plus a margin
  • We offer financings up to $2 million (Including Jumbo ARM loans with loan balances greater than $417,000, the current federal limit for most conventional mortgage financing)

Financing Options to Leverage Your Home’s Equity

• The Fixed-Rate Home Equity Loan

  For large expenses, such as a home renovation or your child’s college education, you may be able to “put it on the house” with an Old Second Fixed-Rate Home Equity Loan. You can put your home’s equity to work via a loan featuring payback certainty: a fixed rate, a fixed loan amount and a fixed monthly interest and principal payment. An Old Second residential lender can help you decide if a fixed-rate home equity loan is right for you.

  • Predictable, fixed monthly principal and interest payment for the life of the loan
  • No interest rate risk because the loan rate is locked in
  • No application fees
  • No hidden closing costs
  • Automatic payment options available through O2 Online Banking when you have a checking or a savings account

• The Variable-Rate Home Equity Line of Credit

  Take credit for—and from—your own assets. With our lines of credit, you can treat your home’s equity as your own personal bank. You decide how much you want to borrow, when you borrow it and how you want to pay it back. With Old Second’s Variable-Rate Home Equity Line of Credit, you are in control.

  • Once a line of credit is established, you have easy access to your home’s equity via a checking account or debit card
  • This is a reusable source of credit—you may pay it down, and then borrow against it at a later date
  • Automatic payment options available through O2 Online Banking when you have a checking or savings account
  • We only require interest payments each month; you may repay principal at your discretion, within the terms of the line of credit