Both single-payment and installment loans can have variable interest rates.

Question

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Both single-payment loans and installment loans can have variable interest rates. The interest rate charged on these loans can change over time due to various factors, such as changes in market conditions, economic indicators, or lender policies. Variable interest rates can make it difficult to predict the total cost of borrowing and may lead to higher payments if the rate goes up over time. However, they can also offer greater flexibility and lower initial costs compared to fixed-rate loans.

Both Single-Payment and Installment Loans Can Have Variable Interest Rates