Originally Posted by Lauren52
Hi , me again !
Does anyone know how is the MPI is calculated ? I have searched online and cant find anything? Trying to get ahead of myself incase of appeal
It's 0.55% of the outstanding balance on your mortgage and then divide it by 12 to get your monthly payment. It gets reduced accordingly every year since the amount you owe is less.
As a side note, when you get some of your documentation after getting AIP it gives a breakdown of exactly how much you'll pay every month for the first year and then how much you'll pay in total for every year after that (assuming you take the full amount they're offering you), which you can then divide by 12 yourself to get the monthly payments.