Should I take a fixed or floating interest package?

A fixed rate package offers an unchanging interest rate for an initial period, which gives stability in monthly payments. However, it often includes a lock-in period and early repayment penalties. A floating (variable) rate package ties the interest rate to a reference rate (such as the bank’s board rate), which may fluctuate over time. The choice depends on whether you prefer predictable costs or are comfortable with possible rate changes.