The purpose of shorter duration loans is to provide the borrower temporary financial relief. Such loans are not a long-term financial solution.
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Fixed-rate mortgage. This is a mortgage that has a fixed interest rate over the entire life of the loan. The benefit is that it offers predictable payment terms and the fixed interest rate allows the size of your monthly payment to stay the same year after year. Adjustable-rate mortgage (ARM). With this type of mortgage, interest rates change from time to time to reflect current market quick loans toronto. In many cases, the rate remains fixed for an initial period, and then it is adjusted on a yearly basis.