initial interest rate

initial interest rate

In an adjustable-rate mortgage,the first interest rate charged.

Initial Interest Rate

The interest rate that is fixed for some specified number of months or years at the beginning of the life of an ARM.
See Adjustable Rate Mortgage (ARM)/How the Interest Rate on an ARM Is Determined.

References in periodicals archive ?
Loans under the Term Loan A-1 facility bear interest at a rate of LIBOR plus an applicable margin depending on the corporate family ratings of Western Digital, with an initial interest rate of LIBOR + 1.
00% and a USD350m, 5-year revolving credit facility at an initial interest rate of LIBOR + 3.
8m, two-year secured term loan at an initial interest rate of 4.
Pricing at closing will be an initial interest rate of LIBOR + 1.
The offer requires only 5% deposit towards the purchase price and has an initial interest rate of 3.
The initial interest rate on the SBLF funds will be 1 percent.
The facility has a two-year initial term and an initial interest rate of 6%.
64 (the policy with 18 years to maturity when the initial interest rate is 6 percent) and 260.
The loan provided 3 years of I/O at an initial interest rate of 5.
These loans have even higher debt-to-income ratios than a typical high loan-to-value mortgage and a three-year subsidy buy-down that reduces the initial interest rate as much as 1.
The fluctuations, called adjustments, boost or drop the initial interest rate and can occur monthly, quarterly, semiannually, or annually.

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