interest rate ceiling
1Interest Rate Ceiling — The maximum interest rate that a financial institution can charge a borrower for an adjustable rate mortgage or loan according to the contractual terms of the mortgage or loan. This interest rate is expressed as an absolute percentage. For… …
2Interest rate ceiling — Related: interest rate cap. The New York Times Financial Glossary …
3interest rate ceiling — See: interest rate cap …
4Interest Rate Collar — An investment strategy that uses derivatives to hedge an investor s exposure to interest rate fluctuations. The investor purchases an interest rate ceiling for a premium, which is offset by selling an interest rate floor. This strategy protects… …
5Interest rate cap — Also called an interest rate ceiling, an interest rate agreement in which payments are made when the reference rate exceeds the strike rate. The New York Times Financial Glossary …
6interest rate cap — See cap. American Banker Glossary An interest rate agreement in which payments are made when the reference rate exceeds the strike rate. Also called an interest rate ceiling. Bloomberg Financial Dictionary …
7Ceiling — The maximum level permissible in a financial transaction. Ceiling refers to the highest price, the maximum interest rate, or the largest of some other factor involved in a transaction. For example, the interest rate ceiling on a credit card is… …
8ceiling — An upper limit for a variable. For example, an adjustable rate mortgage may have a ceiling of 10 percent. In this case, the rate can be adjusted however the loan terms provide without exceeding 10 percent. Also called a cap. American Banker… …
9ceiling — / si:lɪŋ/ noun the highest point that something can reach, e.g. the highest rate of interest or the largest amount of money which a depositor may deposit ● to fix a ceiling for a budget ● There is a ceiling of $100,000 on deposits. ● Output… …
102011 U.S. Debt Ceiling Crisis — A contentious July 2011 debate regarding the maximum amount of borrowing that the United States government should be allowed to undertake. A debt ceiling has been in place since 1917, but the government raises it whenever it comes close to… …
