What is a basis point for an interest rate?

Answer A basis point is a segment or increment of measurement used to denote changes in interest rates. An interest rate can increase or decrease by a certain amount of basis points based on the goals to... Read More »

Top Q&A For: What is a basis point for an interest rate

How Much of an Interest Rate Cut Does One Point Buy?

Paying points when you close on a house is a way to pay some of the interest in advance. A single point equals 1 percent of the total mortgage value; for every point you pay, the interest rate goes... Read More »

How To Replace a High Interest Rate Credit Card With a Low Interest Rate Card?

Many consumers sign up for a specific credit card because they were offered an attractive introductory interest rate. The problem with introductory rates is that they eventually increase. Before yo... Read More »

What Does a Basis Point Mean?

A basis point is one-hundredth of a percentage point. That is, 100 basis points = 1 percent, theoretically of any measured quantity. It is most often used in financial calculations and especially i... Read More »

What is the difference between rate of return&interest rate?

Rate of return, call known as return on investment, is a percentage of the total profit made from an investment compared to the amount of the investment. Interest rate is the percentage of a loan's... Read More »