Variable Interest Rate

What Does Variable Interest Rate Mean?
An interest rate that moves up and down based on the changes of an underlying interest rate index.

Investopedia explains Variable Interest Rate
For example, a credit card might have a variable rate that is a certain spread over the prime rate.

Filed Under: Bonds, Fixed Income

Related Terms

Bank Card Association
Bond
Conversion Option
Fixed Interest Rate
Floating Interest Rate
Interest Rate
Interest Rate Ceiling
Loan
Mortgage
Variable Rate Demand Note
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Which is better, a fixed or variable rate loan?

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