What describes an interest rate that remains unchanged over the life of the loan?

A fixed interest rate is one that remains constant throughout the duration of the loan, providing borrowers with predictability when it comes to their monthly payments. This stability makes it easier for individuals to budget their finances since the interest expense does not fluctuate due to changing economic conditions or lender policies. In contrast, variable interest rates can change over time, often causing uncertainty in payment amounts. Terms like amortized rate refer to the method of paying off a loan through regular payments that include both principal and interest, while a standard rate is less specific and doesn't inherently imply consistency throughout the loan term. Therefore, the definition of fixed interest accurately reflects the nature of stability and predictability over the life of a loan.