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Investopedia explains 'Rate Trigger'
As an example, if a company that issues bonds containing a coupon or interest rate of 12% was to see the prevailing interest rate to drop to 7%, it may exercise its option to "call", or buy back these bonds from the debt holders, enabling the company to borrow money at a much lower rate than when the security was first issued. The company, however, must pay bondholders a premium, or an additional amount over and above the bond’s par value in order to repurchase the debt. The fluctuation in interest rates acted as the trigger for such an action.
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