Economics and Business Economics
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Fully Indexed Interest Rate Author: Paulo Nunes (Economist, Professor and Business Consultant) Contributions: without contributions ... if you are an expert in this field help us to enrich our site ... contact us knoow.net@gmail.com Date Created: 25/05/2011 Summary: Fully Indexed Interest Rate designates an interest rate normally used in loan contracts (especially in... see full article Key words: Economics, Comment or read other comments on this article |
Fully Indexed Interest Rate |
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Fully Indexed Interest Rate Concept Fully Indexed Interest Rate designates an interest rate normally used in loan contracts (especially in the mortgage loans) and sometimes also in deposits contracts, which is automatically reviewed depending on the evolution of the market reference rate (designated by indexed) to which is associated (for example, Euribor). The aim of the indexation of the interest rate to a reference rate is to adjust the price of money to the conditions of the financial market at each time.
Translated from Portuguese by Susana Saraiva, Portuguese-English and English-Portuguese translation specialist. Contact: spams@sapo.pt.
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