Answered

Get the information you need from a community of experts on IDNLearn.com. Join our interactive community and get comprehensive, reliable answers to all your questions.

4 Which type of loan has a set interest rate?
Balloon rate
Adjustable rate
O Variable rate
Fixed rate
Skip‣
3/10 complete

Sagot :

GinnyAnsweridn

Final answer:

Fixed rate loans have a set interest rate that remains constant, offering stability to borrowers.


Explanation:

Fixed rate loans have a set interest rate that remains constant throughout the loan term. Unlike adjustable-rate loans where the interest rate can fluctuate based on market conditions, fixed-rate loans provide stability and predictability to borrowers.

For example, a 30-year fixed-rate mortgage will have the same interest rate for the entire 30-year period, ensuring that the monthly payments remain consistent.

Choosing a fixed-rate loan can be beneficial for individuals seeking to lock in a specific interest rate and avoid potential increases in payments due to interest rate changes.


Learn more about Types of loans here:

https://brainly.com/question/30104409


We greatly appreciate every question and answer you provide. Keep engaging and finding the best solutions. This community is the perfect place to learn and grow together. For clear and precise answers, choose IDNLearn.com. Thanks for stopping by, and come back soon for more valuable insights.