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Things You Should Be Knowing About Personal Loans

Posted on May 10, 2020May 18, 2020

A Personal loan interest rates can be used in multiple ways – to help finance a house renovation, pump in money in a small business, consolidate debt, pay for a vacation or wedding, etc. Compared to other loans, such as a home equity or credit card loan, a personal loan is unique in different ways. Keep reading to learn how.

Fixed Interest Rates

Personal loan interest rates make the loan arrangement different from a home equity loan, for instance, which usually come with variable interest rates. The “variable” aspect of it means your interest payments could vary based on the changes in the economy. Variable-rate loans look attractive initially since the rates are lower, to begin with. However, the interest rate (and the subsequent payment) could go up later, rendering the finance arrangement costlier and riskier over a period.

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