Which of the following is true of fixed interest rates?(1 point) Responses They can change at any time based on an index. They can change at any time based on an index. They are initially higher than variable interest rates. They are initially higher than variable interest rates. They can be unpredictable. They can be unpredictable. They are harder to budget for because they vary from month to month.
1 answer
The correct statement about fixed interest rates is: They are initially higher than variable interest rates.
Fixed interest rates remain constant over the life of the loan, allowing for predictable monthly payments. In contrast, variable interest rates can change over time, often based on an index, making them less predictable.
