"Having an option ARM loan, however, apparently qualifies the borrower for special help. The loans, with their low initial payments and âteaserâ interest rates, were immediately popular with buyers who could not afford or did not want to pay the soaring prices on houses. The problem was, eventually the rate would reset or the loan balance would have to be paid in full. âNightmare Mortgagesâ they were called in a 2006 BusinessWeek cover piece." "Option ARMs were never quite as bad as predicted, partly because the crisis pushed down interest rates so far that the resets were relatively mild." http://www.cnbc.com/id/43624123 ================= Maybe once these are cleared or contained perhaps this will pave the way for interest rate increase.