Since mortgage interest rates are constantly changing, we offer the option of "locking-in" your rate to protect you against a rate increase during the loan process.

Your rate is not locked automatically by submitting your loan application.

How/When Can I Lock?

• For refinance or second mortgage loan transaction - Submit a completed loan application and receive an initial pre-approval on your loan.
• For purchase money loan transaction - Submit a completed loan application, supply us with a fully executed copy of purchase and sales agreement on the property you want to buy, and receive an initial loan pre-approval on your application. You may not lock in your rate until you have a purchase or sales agreement.

Once you have met the requirements listed above, you may lock in your interest rate and discount points, if any, at any time. To lock in your rate, log into the Star One Home Loan site (using your user ID and password you selected during initial application process) and select the "Lock Rate" button on the loan status page.

Subject to the terms and conditions set forth herein, the interest rate will be guaranteed for the selected rate lock in period (60 or 120 days) as long as you provided 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.

What is a Rate Lock-In Commitment?

A Rate Lock-In Commitment is an arrangement between you and Star One that specifies the number of days for which a loan's interest rate and points are protected by the Star One. With a rate lock-in commitment, should interest rates rise during that period, Star One is obligated to honor the committed rate subject to the terms and conditions set forth herein. Should interest rates fall during that period, see Lock Changes below. Star One's Rate Lock-In Commitment applies to both purchase money transactions and refinances.

If your interest rate is for an Adjustable Rate Mortgage loan ("ARM"), then the interest rate lock is for the initial interest rate only and is subject to adjustment. Information concerning the ARM loan program for which you applied is contained in the Adjustable Rate Mortgage Program Disclosure which will be provided to you.

The Rate Lock-In Commitment is conditional upon your loan being approved, payment of any rate lock fee, and closing in a timely manner. 

Star One Credit Union's Rate Lock-In Commitment

Committing to an interest rate lock-in is not a commitment to lend or approve a loan or an indication that the loan has been underwritten or approved. It is also not a guarantee by Star One that a loan will be closed by the rate lock-in expiration date.

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 Star One and the member. 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, you may enter into a new interest rate lock-in commitment with Star One at the current market rates. If Star One is solely responsible for delaying the loan closing beyond the rate lock-in expiration date, you may either extend the rate lock-in expiration date an additional fifteen (15) calendar days, or accept the loan interest rate offered by Star One on the document draw date. The "document draw date" is the date on which the closing loan documents are drawn by Star One. 

Any significant changes in the terms of the loan application may invalidate this commitment. This includes, but is not limited to, changes in loan amount, loan product, lock-in period, property changes, or other changes that may affect the value of the loan in the secondary mortgage market. Decisions concerning the type of changes considered significant shall be at the sole discretion of Star One. The rate lock shall also be void if you cancel or withdraw your loan application for any reason. Rate lock is not transferable to a different property address. If the property address changes on a locked loan, the lock will be canceled and new lock will be required at current market rates. 

Lock Period

We currently offer a rate lock-in period up to sixty and one hundred (60 and 120) days. This means your loan must close and disburse within this number of days from the date of your 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.

Fees 

We do not charge a fee for the initial 60-day lock of your interest rate (see Lock Changes below). The extended rate lock-in commitment is available for a fee of $500. The rate lock fees are non-refundable.

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.

If your loan cannot close within the initial lock-in period, you may extend the rate beyond the 60-day period, up to maximum of 60 additional days under our extended rate lock program. The fee for rate lock extension is $500. The request to extend the rate must be received before the expiration of the original lock. If the request is not received before the expiration, your rate will automatically terminate.