Lock-in period

A lock-in period refers to a set period of days in which a particular interest rate is guaranteed not to change from the lender.

For instance if taking out a mortgage the lender may agree a set period during which the rate that they quote at the point of the person applying for the mortgage will remain good.

Typically a lock-in period is quite a short time, and in the region of around 1- 2 months is the most common.

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