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What is the difference between fixed and variable rates?

April 26, 2017fixed rates

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What is the difference between fixed and variable rates?

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The difference between fixed and variable rates is that variable rates are subject to change at any time which will effect your fortnightly or monthly repayments. Fixed rates do not change for the duration it has been fixed. This means that your repayments will stay the same for the period you have ‘fixed’ your loan for. Please note you can fix your loan for a maximum period of 5 years.