Sentences with phrase «variable interest rate market»

When getting into the variable interest rate market, they like upside protection,» says Wolfe of Wolfe Financial.

Not exact matches

The new interest rate can be lower or higher than the weighted average of the old loans and can be fixed (the interest rate won't ever change) or variable (the rate changes based on the market conditions).

Watch out for open - ended loans with a variable interest rate, which fluctuates depending on the market.

But of the inputs, one variable is by far the most important: the discount rate, which is tied to the market interest rates Buffett has been talking about.

With interest rates still low and the market for variable annuities slumping fast it's hard to be cheerful about the immediate future of annuities — except when it comes to structured VAs.

It is typically a safer bet to choose a fixed - rate loan, but you can also realize additional interest savings with a variable rate loan in a low interest rate market.

Its fluctuations are particularly impactful if you're shopping around for a private loan or selected a variable interest rate loan and are now at the mercy of the market.

The rise in short - term market interest rates ahead of the move in monetary policy had very limited effect on the interest rates that intermediaries charge for variable - rate loans, notwithstanding the fact that the marginal cost of banks» funding of such loans is related to bill yields.

Also, consider that refinancing gives you access to variable interest rates, which increase or decrease during your repayment according to market influences.

So, market participants who buy and sell bonds at different prices are expressing different views about a number of variables: the likelihood that these cash flows will be received (credit quality); the velocity at which they may be received (prepayment or extension); their relative value to other bonds; and their interest rates relative to prevailing rates.

The Funds will hold securities with floating or variable interest rates which may decline in value if their coupon rates do not reset as high, or as quickly, as comparable market interest rates.

Competition spread more openly to the market for existing borrowers in mid 1996 when banks cut the interest rate on standard variable - rate loans independently of any effect on funding costs from a change in monetary policy.

A Fixed Annuity offers tax - deferred growth based on a guaranteed fixed interest rate, while a Variable Annuity allows you to pursue greater growth potential by investing in the market.

An interest rate is «fixed» if it remains unchanged over time, while a «variable» interest rate changes over time based on fluctuations in a market benchmark rate.

Also known as variable or adjustable rate bonds, floating rate bonds have an interest rate that periodically changes with the market rate.

Most credit cards nowadays have variable interest rates which fluctuate with market rates so the interest rate you're paying today may wind up being lower tomorrow.

Variable: In this case, your credit card interest rate is determined by a formula that takes into account the changing market.

The main risk with a personal credit line is that most lenders have a variable interest rate which means that you'll accrue interest at different rates depending on the market.

A variable rate changes with market conditions, while a fixed rate remains the same, even if interest rates in general rise.

So, market participants who buy and sell bonds at different prices are expressing different views about a number of variables: the likelihood that these cash flows will be received (credit quality); the velocity at which they may be received (prepayment or extension); their relative value to other bonds; and their interest rates relative to prevailing rates.

Unless you can find a really low variable interest rate, it is advisable to select a fixed rate since market variation won't affect your monthly payments and once you've added the installments to your budget, you won't have to worry about the loan anymore.

A variable - rate credit card, however, has an interest rate that fluctuates with current market rates.

Only a few come with a variable rate, which is when the interest rate fluctuates between a certain range depending on market conditions.

Some people also choose personal loans with variable interest rates, which will also change depending on the market.

If possible get a fixed interest rate, the length of this kind of loans is long enough to worry about market variations that may raise your variable interest rate too much, turning monthly payments into an unbearable burden.

Variable interest rates are typically lower than fixed interest rates but may turn to be higher over time if market conditions worsen.

Variable rates are highly recommended if you see a downfall in the interest rate of the mortgage market in the future.

In a variable or floating rate mortgage, the payments are generally fixed, but the interest rates can fluctuate depending on the market conditions.

In case of variable mortgages, interest rates are variable according to the market scenario.

The short term interest rates like variable rates will go up in 2015 according to RBC Financial Market Forecasts.

This line of credit usually carries lower variable interest rates which let's you take advantage of good market conditions and get money at probably the lowest rates on the private financial market.

As market interest rates move up and down, the interest rate you pay on a variable interest rate loan can also vary.

Variable / Market - Linked: Some CDs don't earn the same interest rate throughout their term.

With a variable - rate mortgage, the interest you pay fluctuates with market rates.

A variable interest rate can rise or fall as the market index changes, so your private school loan payments may vary over time.

Interest rates on direct loans are fixed, which is different from a variable rate, which can fluctuate based on market conditions.

Unlike variable rate loans, you have no exposure to changes in interest rates in the market.

Fixed interest rate is recommended for those who have a conservative nature and a variable interest rate is meant for those who want to seize the benefits of market conditions and are comfortable with the idea of risking to pay a higher installment if the situation changes.

A variable annuity enables you to choose its investments from a menu of options such as stocks, bonds and money market funds, while a fixed annuity earns a set interest rate.

With a fixed rate, you know what your interest costs will be, regardless of the movement of the market interest rate that determines whether variable rates rise or fall.

Variable interest rates start out lower than fixed, but they have the potential to balloon up with the market.

Securities with floating or variable interest rates may decline in value if their coupon rates do not keep pace with comparable market interest rates.

These include the following factors: (a) the length of the loan, that is, the time period in which the loan principal must be completely paid, (b) whether the interest rate is fixed or variable over the loan period, (c) the amount of the loan relative to the market value of the product being financed, that is, the loan - to - value ratio, and (d) whether the loan contract includes upfront costs such as loan processing fees.

If you have studied the market and believe rates are going to fall over time a variable rate mortgage might provide savings over time, but if you are wrong and rates increase your mortgage payments could spike and your interest payments could increase substantially.

Variable Rate Mortgage: A mortgage in which the rate of interest changes if market conditions chaRate Mortgage: A mortgage in which the rate of interest changes if market conditions charate of interest changes if market conditions change.

When market interest rates have been low for a long period but are expected to rise, financial analysts often recommend that borrowers with variable interest rates refinance quickly to lock in a new, fixed interest rate.

Variable interest rates, alternatively, start off as more low interest student loans but fluctuate with the market.

Many private student loan lenders have their variable interest rates tied to the prime rate of a financial index, such as the LIBOR, which is a measure of market conditions.

Variable, or «floating», interest rates fluctuate as the market changes.

It will allow you to adjust based on market interest rates: lock in at fixed when the rates are looking up, and switch to variable rates when it looks like they're on the down low.