1. Exactly why are your 12-year term loans priced more than your 5-year or 8-year?
This makes up the interest price danger. It certainly is riskier both for parties to lock-in to a rate that is long-term the details of where rates might be headed. To pay because of this danger, PenFed offers the security of the fixed rate for 12 and 15 12 months terms, however in return, we request a greater premium with this security.
2. Just exactly exactly How may be the interest determined on my loan?
Interest rates are calculated as easy day-to-day interest. This means every day the outstanding balance that is principal increased by the interest and div