Fixed Or Floating Rates Loan

[Sonia]

Hello Everyone!

I want your advice in considering education loan. I don't want to get into risky interest rates and plans to pay off after completing my degree in future years. Which type of loan is best for me?
Long-term Floating/Fixed rate loan Or
Short-term Floating/fixed rate loan

Thanks!

[Slug]

How long do you plan to keep the loan?

In general I feel it's a great time to lock in low interest rates now for debt you plan to carry for the long-term. Both my mortgage (4.3875% for 30 years) and student loans (1.5% and 2.5%). All of these rates are lowered further when you write off the interest on your taxes.

[Sonia]

Sir, Long term Fixed?
I have planned for four years

[queenofstars]

I have found that banks are not forthcoming in classifying the fixed loan, as semi-fixed or fixed loan.

I had opted for a fixed rate loan 2 years back and had narrowed down with one of the leading Indian private bank. However, when I read the Home Loan agreement, I hit upon the clause which vaguely stated that the fixed rate loan can be changed at the bank discretion under certain cicumstances. I contacted the bank official to specifically mention those circumstancesand they did not mention anything. Worse of all, the bank representative never told me that their fixed rate was in fact semi-fixed.

The message is that if you are taking home loan be sure to read all the clauses of the agreement carefully. I am happy that I did that, as I switch to another bank, that was offering \"true\" fixed rate.

[queenofstars]

I have found that banks are not forthcoming in classifying the fixed loan, as semi-fixed or fixed loan.

I had opted for a fixed rate loan 2 years back and had narrowed down with one of the leading Indian private bank. However, when I read the Home Loan agreement, I hit upon the clause which vaguely stated that the fixed rate loan can be changed at the bank discretion under certain cicumstances. I contacted the bank official to specifically mention those circumstancesand they did not mention anything. Worse of all, the bank representative never told me that their fixed rate was in fact semi-fixed.

The message is that if you are taking home loan be sure to read all the clauses of the agreement carefully. I am happy that I did that, as I switch to another bank, that was offering \"true\" fixed rate.

[jerrycates]

I think i can opt for fixed too. It seems that it would be easier for me to allot the amount that I would need on a monthly basis.