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The Joys and Woes of Fixed Rate Loans Fixed rate loans offer peace of mind but they may be expensive. Why should one choose a fixed rate loan over other kinds of loans? Loans Determined by Down Payment One's down payment affects the kinds of loans that one is offered. The greater the down payment, the more the loan offers, and vice versa. Choosing HELOC Over Equity Loans Home equity can be used to take care of our financial problems. HELOC provides yet another way of using the equity on our homes.