To fix or not to fix?

May 26, 2015
Steve Sims

With the interest rates at their lowest point ever, the question is now being asked, do I fix or not?

Fixing at a lower rate may give you benefits over staying with a variable rate, but there are a few aspects which need to be taken into consideration before making the choice. 

 5 Points to consider

  • Fixing all or part of your loan can give you protection from future rate hikes
  • Fixing brings certainty of repayments, making budgeting easier
  • Typically fixed rate loans do not have features such as redraw facility or allow you to make extra repayments
  • If rates  fall again you won’t receive any benefits during a fixed term
  • By “breaking” an existing fixed rate term, extra charges may be incurred which could run into several thousand dollars depending on how rates have moved

Checkout our latest Money Chat video below, as it discusses the difference between and fixed and variable rate and also the pros and cons to each.

Fixed, variable or split?

With many loan options available to you, including fixed, variable and split, talking to an expert is an important step in getting the right loan for you. If you would like a review of your home loan to see if a fixed rate or variable rate would be suitable for you, please give Steve a call on 0433 124 081 or email at

Posted in: Interest rates

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