Which is true of an adjustable rate mortgage?

An adjustable rate mortgage is also popularly known as the valuable rate mortgage or the floating rate mortgage. This type of mortgage is characterized by which the interest rate that will be paid will differ based on a particular benchmark. The first interest rate is usually fixed for a period of time and then change after regularly, monthly or bimonthly depending on the agreement. An ARM margin is the term given to the borrower’s interest rate that is based on a benchmark plus the interest rate.

Assuming that this is referring to the same list of options that was posted before with this question, it is true that with an adjustable-rate mortgage the rate can be adjusted either up or down by the bank.