Adjustable Rate Mortgages are a mystery to most people. Here our US finance correspondent explains the ins-and-outs:

Feeling the pinch from an Adjustable Rate Mortgage? Interest rate hikes are getting to be teenagers – we’ve seen 16 or so in this latest cycle. That means Adjustable Rate Mortgages (ARMs) are getting more expensive than they used to be.

All good things come to an end, and the historical interest rate lows seem to have become history for now. For many homeowners, low payments are also history. In fact, you find a lot of people are having a hard time making a once manageable mortgage payment. What’s a borrower to do?

If you find yourself in this position, find out what you can do about it. One way to improve your lot is to talk to a mortgage lender and see if you are still in the right mortgage. You may benefit by getting out of an ARM and into a fixed rate mortgage (or you may not, just hang in there). The best way to find out: ask a trusted mortgage lender.

Remember to do some research for yourself. After you hear what the lender has to say, crunch the numbers and make sure it makes sense before you make any changes.