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  2. Share Prices
  3. Finance Glossary
  4. Terms Beginning With I
  5. Interest Rate Spread

Interest Rate Spread

Definition of 'Interest Rate Spread'

The gap between the interest rate a bank pays on deposits and the higher rate it charges for loans.

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Related Terms

Value Action PentagonFlat RateBid Offer SpreadVertical SpreadAccrued InterestAnnualise Percentage Rate of InterestInterest Rate Parity of Exchange Rate DeterminationPerformance SpreadValue Creation: Four Key ElementsSwopFloating Rate NoteForward PointsCouponTerm Structure of Interest RatesCoupon Rate of InterestDiscount RateForward-Rate AgreementShort SterlingShort-Term Interest Rate FutureEquity Swap

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