Are annual payments allowed on ARM loans under TRID? Our system is automatically defaulting the payments to monthly for ARM loans and won't let us change them to annual payments. It let us do an annual payment on a fixed rate and produced the LE and CD correctly, but won't let us do it on ARM loans.

Sounds like maybe a system limitation. How often are you changing your interest rate?

it is fixed for the first 66 months and then every 12 months

Then as long as your servicing system can handle the subsequent ARM notices, it sounds like a system limitation.

Thanks!