Variable-Rate Loans That Don’t Go Down

I would have to agree with Herman Schlander’s letter (April 6) regarding variable-interest rate loans.

My loan started at 11.5%, and has gone up six times to 13.25%. It has never gone down.

I called my lender, Home Savings of America, to inquire about refinancing at a lower, fixed rate. They informed me that they do not offer any fixed-rate loans, only the variable/adjustable types.

Since Home Savings adjusts its rate every six months, I eagerly awaited February’s notice of their rate change. With the plummeting interest rates, I thought for sure that my rate would drop a quarter point. Silly me; the rate stayed at 13.25%.


I then got a fixed 10.625% loan for 15 years, nine years shorter than the term on my present loan--for about the same money.