factris invoice financing factoring

Fixed interest

What is fixed interest?

A fixed interest rate is an interest rate that remains the same throughout the term of a loan and does not change, regardless of market conditions. This is in contrast to variable interest, which can vary over the life of the loan. A fixed-rate loan provides security for both the borrower and the lender because the interest rate and payment obligations are known in advance. This can be beneficial if interest rates are high and expected to rise, but can be detrimental if interest rates fall and the borrower pays more than would be required with a variable interest.

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