The full form of FHR in banking, specifically in the context of home loans, is Fixed Deposit Home Rate.
In some banking contexts, FHR can also represent other terms, but regarding home loans and interest rates, Fixed Deposit Home Rate is the relevant expansion.
Here's what "Fixed Deposit Home Rate" generally implies:
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It refers to a benchmark interest rate used by banks to determine the lending rate for home loans. This rate is usually linked to the bank's fixed deposit rates.
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Home loan interest rates linked to FHR are typically variable, meaning they can fluctuate based on changes in the bank's fixed deposit rates or overall market conditions.
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Because the home loan interest rate is tied to FHR, any increase in FHR will likely result in an increase in the interest rate charged on the home loan, and vice versa.
Therefore, while other meanings of FHR might exist in various banking contexts, in the specific instance of home loans, it most commonly signifies Fixed Deposit Home Rate.
