Answer :
Because numerous lenders participate to a syndicated loan, the loan can be arranged into various forms of loans and securities. Varied loan kinds have different interest rates, such as fixed and adjustable rates. It is the polar opposite of a fixed rate, giving the borrower additional flexibility.
There is no separate agreement between a bank and a borrower. There used to be no uncertainty. The contract usually lasts between three and fifteen years. Loan syndication has a low risk factor.
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