Hybrid loans
For those who cannot decide whether to go for a fixed or floating loan, banks have combined the two.
In this product, the lender charges a fixed rate of interest on half the loan and a floating rate of interest on the other half.
"This product makes sense when interest rates are falling, like it's happening currently, and there is a general perception that they may go down further," said an investment adviser.
This enables borrowers to take advantage of the falling interest rates.
Also read: America's loss is world's gain!
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