Premiums are being reduced by the mortgage insurance subsidiary of Genworth Financial. Also taking place is the implementation of rate adjustors.
Genworth Mortgage Insurance said Tuesday that it is cutting it national rates for borrower-paid monthly premiums and single premiums.
In addition, the Richmond, Virginia-based company is introducing two rate adjustors for its borrower-paid mortgage insurance rate plans.
According to Genworth, prices will be adjusted based on the number of borrowers on the transactions and the level of the debt-to-income ratio.
“For example, loans with co-borrowers will see an M.I. rate decrease of approximately 18 percent from current rates, and loans for borrowers with a DTI ratio greater than 45 percent can expect an M.I. rate increase of approximately 8 percent from current rates,” the bulletin stated. “These changes result in an overall rate decrease for Genworth’s monthly plan of about 10 percent.”
The prices reductions take effect on June 4.
