close
    What are the different types of interest rates?

    0  Views: 2271 Answers: 1 Posted: 13 years ago

    1 Answer

    Without more information, it is very hard to know which kinds of interest rates you are asking about. There are many different kinds of interest rates.
    For example, if you are talking about interest rates and inflation, you could have nominal interest rates and real interest rates. Nominal interest rates are the "plain" rates. If you borrow money at 8% interest, that is the nominal rate. The real rate is adjusted for inflation. To get it, you subtract the rate of inflation from the nominal interest rate. So, if you borrowed at 8% and iflation was 3%, your real interest rate was 5%.
    Another type of interest rate is the prime rate (also called the discount rate). This is the short term interest rate that large banks (or cenral banks) charge to their best and most credit-worthy customers. This is generally the lowest possible interest rate.
    There are many other terms for various kinds of interest rates.
    Sources: http://www.enotes.com/biz-encyclopedia/prime-rate.
    http://www.enotes.com/econ-encyclopedia/rate-interest.
    http://www.enotes.com/econ-encyclopedia/real-interest-rate.



    Top contributors in Uncategorized category

     
    ROMOS
    Answers: 18061 / Questions: 154
    Karma: 1101K
     
    Colleen
    Answers: 47270 / Questions: 115
    Karma: 953K
     
    country bumpkin
    Answers: 11322 / Questions: 160
    Karma: 838K
     
    Benthere
    Answers: 2392 / Questions: 30
    Karma: 760K
    > Top contributors chart

    Unanswered Questions

    Casino trực tuyến
    Answers: 0 Views: 4 Rating: 0
    what is upload speed test?
    Answers: 0 Views: 7 Rating: 0
    Tải sunwin online
    Answers: 0 Views: 7 Rating: 0
    kubetmiami
    Answers: 0 Views: 9 Rating: 0
    truycapgo88biz
    Answers: 0 Views: 10 Rating: 0
    king88atodayvn
    Answers: 0 Views: 15 Rating: 0
    > More questions...
    452027
    questions
    719623
    answers
    752923
    users