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Rate Cap

FreddieMac

Updated 10-31-2026

Rate Cap

The limit on the amount an interest rate on an ARM can increase or decrease during an adjustment period.

FreddieMac Glossary

FreddieMac · p. 12

FTC

Updated 10-31-2026

Rate Cap

The limit on the amount an interest rate on an adjustable-rate mort-gage (ARM) can increase or decrease during an adjustment period.

FTC Real Estate Terms

FTC · p. 15

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