Pass-through coupon rate(redirected from Pass-Through Coupon Rates)
Pass-through coupon rate
The interest rate paid on a securitized pool of assets, which is less than the rate paid on the underlying loans by an amount equal to the servicing and guaranteeing fees.
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Pass-Through Coupon Rate
The interest rate a holder receives on a pass-through security. A pass-through security is a negotiable security backed by the receivables on a pool of liabilities like loans or mortgages. The pass-through coupon rate is the same as the weighted average interest rate on the liabilities underlying the security, less any applicable fees.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved