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USA | Tommy don't know why your feather's are ruffled, never inferred that you were stupid.
Farming through the 80s I know about high int rates and the problems they caused , especially for those that had variable rate loans. If folks would have had an Int Rate Protection Plan in place like this to insure against higher int rates down the road, variable would not have caused as much pain.
http://talk.newagtalk.com/forums/thread-view.asp?tid=442504&mid=357...
Very little risk in using the savings from the short term rates today to build a hedge of protection, in case of future int rate spikes.
To each is own, but don't understand why a person that has a track record of paying off loans in a lot shorter time span than what they borrowed it for. Is willing to pay a premium for a length of time they know from the start, chances are slim and none they will have the money borrowed 5 - 20 years down the road.
Am not against long term rates, when the premium is low enough, right now too much premium for long term vs short term when you read the tea leaves. Long rates have been on the rise, short rates are still declining. | |
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Paying off Long Term Loans? Your Thoughts.
