Interest rates on bank loans, savings, money market accounts and deposits can be either fixed rate products or be variable rate based.  Most bank CDs are fixed rates but sometimes even  the interest rates on bank CDs are variable rates.  It is important to understand what type of interest rate you are receiving as well as what those rates actually are.  Variable rate accounts can change while fixed rates will not.  Bank accounts that offer both types of rates should be compared to evaluate the difference in the rate of return as well as to determine the parameters for the basis of  the variable rate and when and how it changes.

Tags: , , , ,

No user commented in " Variable and Fixed Bank Rates "

Follow-up comment rss or Leave a Trackback

Leave A Reply

 Username (*required)

 Email Address (*private)

 Website (*optional)