Variable interest rate


 

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Variable Interest Rate

An interest rate which fluctuates as the prevailing rate moves up or down. In mortgages there are usually maximums as to the frequency and amount of fluctuation. Also called "flexible interest rate."

Variable interest rate

A loan rate that moves up and down based on factors including changes in the rate paid on bank certificates of deposit or Treasury bills.

Variable interest rate

Interest rates offered by banks and financial institutions on loans or deposits which are liable to change according to circumstances. For example a movement in the interest rate set by the government would usually be an influence.

Variable interest rate

See: Adjustable rate



Variable interest rate

Similar Matches

Variable cost

Variable cost

A cost that is directly proportional to the volume of output produced. When production is zero, the variable cost is equal to zero.


Variable rate CDs

Variable rate CDs

Short-term certificate of deposits that pay interest periodically on roll dates. On each roll date, the coupon on the CD is adjusted to reflect current market rates.


Variable cost

Variable cost

The portion of a firm or industry's cost that changes with output, in contrast to fixed cost.


Variable rate

Variable rate

A varible-rate agreement, as distinguished from a fixed-rate agreement, calls for an interest rate that may fluctuate over the life of the loan. The rate is often tied to an index that reflects changes in market rates of interest. A fluctuation in the rate causes changes in either the payments or the length of the loan term. Limits are often placed on the degree to which the interest rate or the payments can vary.


Variable Plan

Variable Plan

A plan in which either the number of shares and/or the price at which they will be issued is not known on the grant date.


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