The check digits enable the sending bank (or its customer) to perform a sanity check of the routing destination and account number from a single string of data at the time of data entry.
Generally, interest rates on FHA-backed mortgages are competitive with conventional mortgages. A quick scan of interest rates for 2012 reveals that FHA mortgages feature rates of about 3.33 percent. The FHA states that the average interest rate for a 30-year fixed loan on a single-family home is about 4.06 percent.
Depending on your purchase price and down payment and other factors, PMI can easily run $150 to $200 per month. The rate for PMI is generally .3 â 1.15% of the entire loan amount each year. FHA loans require a minimum down payment of 3.5 percent. Buyers pay an up-front mortgage premium equal to 1 percent of their loan amount. For that $150,000 home, thatâs $1,500 due at closing. FHA borrowers also pay an annual mortgage premium thatâs a little more than 1 percent of their loan amount, which would be in the neighborhood of $125 for this example loan amount.