CHARM Booklets. On December 26, 2006, the Federal Reserve Board and the Office of Thrift Supervision announced that CHARM Booklet (Consumer Handbook on Adjustable Rate Mortgages) has been revised. This booklet provides information to consumers about the features and risks of such loans. In recognition of the growing use of nontraditional mortgage products, the agencies have substantially revised the CHARM booklet to include discussions about “interest-only” and “payment option” mortgages.
Topics Covered Include:
• What Is an ARM?
• How ARMS Work: the Basic Features
• Types of ARMs
• Consumer Cautions
• Where to Get Information
• Mortgage Shopping Worksheet
• Glossary
• List of Resources for More Information
