Definition, Meaning & Synonyms
fixed-rate
adjective
/fɪkst reɪt/
Definition
A fixed-rate is a type of interest rate that remains constant throughout the life of a loan or financial product.
Examples
- Many homeowners choose a fixed-rate mortgage to ensure their monthly payments stay the same.
- Investors often prefer fixed-rate bonds for predictable returns.
- The fixed-rate option can provide peace of mind for borrowers concerned about interest rate fluctuations.
Meaning
It refers to a loan where the interest rate does not change, allowing for stable payments over time.
Synonyms
- Constant rate
- Stable rate
- Unchanging rate
