Indexed Rate
/ˈɪndɛkst reɪt/
Definitions
- (n.) An interest rate adjusted periodically based on a specified financial index.
The loan's indexed rate fluctuates with changes in the prime lending rate.
Forms
- indexed rate
- indexed rates
Related terms
See also
Commentary
In legal drafting, specify the exact index used for adjustment to avoid ambiguity in financial contracts.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.