Discounted Rate
A lender may offer a discounted rate which will shadow their standard variable rate for a stated period period or until a set date.
For example, if the lender's standard variable rate is 7.5% and you have a 1% discount, your 'pay rate' will be 6.5%
When the discount ends, the rate charged usually reverts to the lender's standard variable rate. During the discounted rate period, the interest rate can vary.
