3 ms·
> If the rate is set to change at some point, you can't really call it a fixed rate, can you? Hence, fixed versus variable. Fixed rate mortage has fixed perce
by zajio1am 5y ago
> If the rate is set to change at some point, you can't really call it a fixed rate, can you? Hence, fixed versus variable.
Fixed rate mortage has fixed percentage for an agreed period of time (fixation duration). Variable rate mortgage is based on current inter-bank market rate (or some other index), e.g. EURIBOR + X %.