When the Interest rate increases as per table below say in 2 years of loan, the full amount of loan will remain unpaid, in spite of paying all instalments all the years.
| Compounded Quarterly | Repaid Weekly | ||
| Loan Period | |||
| 30 yrs | 25 yrs | 20 yrs | |
| Rate when agreed | Increased to | ||
| 5.00% | 6.50% | 7.09% | 8.01% |
| 5.50% | 6.88% | 7.45% | 8.35% |
| 6.00% | 7.27% | 7.82% | 8.70% |
| 6.50% | 7.67% | 8.19% | 9.06% |
| 7.00% | 8.08% | 8.58% | 9.42% |
| 7.50% | 8.49% | 8.98% | 9.79% |
| 8.00% | 8.92% | 9.38% | 10.17% |
| 8.50% | 9.35% | 9.79% | 10.56% |
| 9.00% | 9.79% | 10.21% | 10.95% |
| 9.50% | 10.23% | 10.63% | 11.35% |
| 10.00% | 10.69% | 11.07% | 11.76% |
| 10.50% | 11.14% | 11.50% | 12.17% |
| 11.00% | 11.61% | 11.95% | 12.59% |