Banky team Reviewed editorial answerA fixed return remains at the rate specified in the product terms for the agreed-upon period, while a variable return is linked to a benchmark or pricing mechanism and can rise or fall.
Key points
Before buying, ask: What is the benchmark?
How often is the price adjusted?
And when will the change in return be reflected?
If your budget relies on a fixed income, the volatility of a variable return must be factored into your decision.
The figures, fees and limits in this answer vary by bank and change over time — confirm them with your bank or the official source before acting.