I honestly don't know if Money can handle this type of mortgage. The
mortgage product that is available in Canada is different than the product
available in the US. It appears that Money may not have thought of the
Canadian mortgage product when developing Money. I still think that part of
the problem is with the mortgage terms that you indicated, the P&I isn't
aming to what you are entering in Money for the loan terms. My previous post
indicates that the P&I should be about $67 less than what you are entering
in Money.

Jer

"Peter" <Peter[at]discussions.microsoft.com> wrote in message
news:870932CE-D72B-4EBF-B5F4-14ADAD56E3E3[at]microsoft.com...
- quote -

Yes, it is a true rate - i.e. prime -3% for the first 6 months then prime
-0.4% for the remainder of the term.

Are there any tricks to let me manage this type of mortgage in Money? I
can't believe Money won't handle this type of mortgage, it's very popular (at
least here in Canada!)

Thanks,
Peter

"dioxide45" wrote:

- quote -

After amortizing the terms that you have below. A mortgage with a rate of
1.5% over 1300 payments would have a P&I of $233.54. Could this be the
cause? Is the introductory rate a true rate of a rate that your payment is
based on for the introductory period? In new negam product mortgages your
actual rate is say 6% but you only have to make your first payment(s) based
on the introductory rate of the 1.5%. This would cause your loan to neg-am
because the extra interest you are not paying actually gets tacked on the
back end of the loan. I don't know if Money supports this type of mortgage
product.

Jer

"Peter" <Peter[at]discussions.microsoft.com> wrote in message
news:3109BE1F-202B-4ADB-97EB-742917526FCC[at]microsoft.com...
- quote -

I should also mention that I'm running MS Money 2006 Standard...

Hi,

Can anyone tell me the preferred way of setting up a variable rate mortgage
with introductory rates?

With a new mortgage account with 'track transactions' on, if I attempt to
set it up as follows: (example figures)

Next adjustment - 1 Jan 2007
Period between adjustments - 1 year
Paid - Weekly
Loan amount - 150,000
Rate - 1.5% (an introductory rate)
Length = 52 * 25 = 1300 payments
Principal + Interest = 300
Balloon Amount = <BLANK
I get the following error message:

'Your loan terms and amounts do not work together'.

I realise that this is true - but it's a side effect simply because of the
low introductory rate. How can I set up the account such that I can track the
payments, interest rate changes, and then simply reconcile and adjust the
account every year with the annual statement?

Thanks