Tag Archives: interest rates

Impact of interest rates on a bond's price that will be purchased from original institution & held to maturity?

I plan to buy several bonds from the original institution and also plan to hold the bond to maturity. I understand the inverse relationship between bond prices and interest rate, but since I plan to buy & hold bond to … Continue reading

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Question about active duty military and the Relief Act that lowers interest rates?

I know this only applies to debt incurred before joining, but we have a high interest car loan and a few credit cards. We could save a lot if our interest rates were knocked down to 6% (this is the … Continue reading

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What's good about lowering taxes under the fiscal policy and lowering interest rates under monetary policy?

What’s the effect on future inflation? President Bush has decided to pass out tax rebates and lower the income taxes while Ben Bernanke are lowering hte interest rates on the bank borrowings.

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Are federal loan interest rates based monthly or yearly?

I’m confused. Are the interest rates stated based yearly or monthly on federal loans? If they are based monthly, how would you figure the yearly interest rate? I don’t mean the amount you would owe yearly (compounded). I mean to … Continue reading

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How to keep lowered interest rates?

I signed on to a debt management program to lower my interest rates on my credit cards. Recently the company went into bankruptcy and I had to scramble to make sure those creditors were paid and I could keep the … Continue reading

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What is the relationship between varying Interest Rates and Inflation?

Can someone give me a very detailed explanation of the relationship between interest rates and inflation? Thank you

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What other factors influence the level of interest rates applicable?

What other factors influence the level of interest rates applicable to an interest-bearing (fixed income) instrument?

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I need help with a comprehensive problem in my FIN/200.?

Midland Chemical Co. is negotiating a loan from Manhattan Bank and Trust. The small chemical company needs to borrow 0,000. The bank offers a rate of 8¼ percent with a 20 percent compensating balance requirement, or as an alternative, 9¾ … Continue reading

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What factors would lead to a rise in the interest rates in an economy, and in what circumstances?

Please help with this question What factors would lead to a rise in interest rates in an economy, and in what circumstances? Could you give some factors and explain them a little bit please. Many thanks

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How do interest rates relate to savings rates?

In the UK, the Bank of England has them set @ 0.5% and I know this is to stimulate the economy because we are in a deflationary period. I know that the banks savings rates change in accordance to the … Continue reading

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