A Fixed-Rate Mortgage is a type of home loan with a set mortgage payment each month. This loan is predictable, as your mortgage rate and your total monthly payment, including principal and interest are the same amount for the full term of the loan.

A Fixed-Rate Mortgage is the solution for you if:

• You plan to stay in your home for a longer period of time.
• You think interest will increase and want to keep your current rate.
• You are looking for flexibility in deciding the life of your loan.

With a Fixed-Rate Mortgage, you have two choices - a long or short amortization period. Each has different benefits. The longer the amortization period, the lower your monthly payment will be, however, there are benefits of each.

By choosing a longer amortization period, you'll:

• See lower monthly payments.
• See your payment remains the same throughout the loan.
• Pay principal on your loan at any time with no penalties.

By choosing a shorter amortization period, you'll:

• See your payment remains the same throughout the loan.
• See a lower interest rate than a loan with a longer rate.
• Pay less than half the total interest costs over the life of the loan.
• Pay off your loan quicker with higher monthly payments.
• Pay principal on your loan at any time with no penalties.