Hi, I'm assessing whether it's worthwhile fixing my loans for 2 years with NAB and wanted to understand any future consequences. Some have mentioned that in the long-term, variable rates are always lower than fixed rate loans. 1) John has a 600K loan on variable interest I/O. He is currently receiving a discount of x% discount off this variable rate. He fixes the rate of 50% of the loan (Loan A) and leaves the other 50% on the current variable rate (Loan B). When Loan A's fixed term ends, the rate would revert back to a variable rate. Would this variable rate be the same rate as Loan B (with the x% discount)? Here are some responses: Lender 1: No, you would have to renegotiate a new variable rate on Loan A Lender 2: Yes. Show the bank you have proof of the x% discount on Loan B and you should be able to receive the same discount on Loan A when it comes off the fixed term. Which lender should I be listening to? 2) Does anyone have a method of calculating/deciding how much loan portion you should fix? Some people choose 50/50 but I'm not entirely sure why. Here's an idea: Say John has 100k in cash savings and he knows he can save 30k a year. Therefore, for a 2yr fixed rate term, he should keep 160K of loan on variable and the rest fixed. Any other ways to do this? 3) I understand that if I leave my loans at I/O variable rates, I can keep the I/O period up to 15 years (without refinance). Does fixing the loan have an impact on my I/O period?