Fixed interest rate period
Fixed servicing costs for your loanFixed interest rate for part of your loan term
You can choose a fixed rate interest rate period of up to 10 years for your home loan.
Predictable loan repayment costs
You know in advance your interest charges for a longer period.
Ensure your home loan servicing costs for a fixed rate period
Reduce the uncertainty related to interest rates by choosing a fixed rate period for your home loan. You can choose a fixed interest rate period of less than 10 years for not only your new home loan but also your existing one.
If you wish, you can divide your loan into two parts – the fixed rate applies to the first part and the variable rate to the second part. This is how you can make use of the protection provided by the fixed interest rate period while freely amortising or paying off your variable-rate loan.
You will not incur any extra costs of the fixed interest rate period, if no changes are made to the loan. If, however, you want to repay early your fixed rate loan, for example, please contact your bank. Early repayment may involve costs if interest rates have fallen. These costs are calculated on a case-by-case basis, and their amount depends on several factors, such as the loan amount, changes in overall market interest rates and how long your loan has had a fixed interest rate.
Whom does the Fixed Rate Period suit?
The fixed interest rate period suits you if you want to ensure that the servicing costs of your loan remain the same for a period suitable to you. The fixed rate period is available for both new and existing home loans.
You can choose a fixed-rate period right at the start of the loan term. At that point, the loan amount is at its highest, so changes in overall market interest rates can have a notable impact on your instalments or loan term. You can also protect just part of your loan with a fixed term by splitting it into two separate loans.
If you want to choose the fixed interest rate period for your existing home loan, please contact your OP cooperative bank at op.fi or contact our customer service.
Fixed interest rate period is offered by an OP cooperative bank.