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Re: Fixed interest rates

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Sep 15 2011 9:24pm#1 (permalink)

Alessandro

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There is always a dilemma whether to go for the fix interest rate or the fluctuation interest rate. While applying for a loan, one question that trouble most people is to decide whether to choose a fixed rate interest or a flexible one. The former remains fixed, while the latter will go up or down depending mainly on inflation. For example, if I choose the 7.5% fixed rat e offered, and it went down to 5% in a year, you will feel sorry. On the other hand, if rates went up to 10% or more, you will still be paying a bargain 7.5%.

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