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You probably have a term "Effective interest rate" which takes into account various fees and interest rate. It was designed to counter this type of practices by
by saberdancer 6y ago
You probably have a term "Effective interest rate" which takes into account various fees and interest rate. It was designed to counter this type of practices by banks where they would offer lower interest rate but higher fees which were less visible to the consumer.
- KSteffensen 6y agoThe interest rate is locked for the duration of the loan. The fees can vary according to how much money the bank feels like making this year. Since there are quite large expenses associated with refinancing the mortgage most people put up with this.