The amount by which the interest earned by an investment exceeds or fails to exceed its own interest liability. If a bank pays depositors one interest rate, and lends the deposited money out at a higher interest rate, the difference between those two interest rates is the interest rate spread.
Related information about interest rate spread:
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... and the average rate it pays on deposits and borrowings. The net interest rate spread is a key determinant of a financial institution's profitability (or lack thereof).
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Interest rate spread (lending rate minus deposit rate, %). Interest rate spread is the interest rate charged by banks on loans to prime customers minus the interest ...
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Definition of interest rate spread: Extent to which interest earning capacity of an entity exceeds or falls short of its interest cost obligations. Formula: (Interest ...
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What Is the Interest Rate Spread?. There is no single interest rate spread. Rather, many different spreads are calculated for a variety of purposes. Some are used ...
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This article is part of WikiProject Definitions. Consider editing to improve it. View articles referencing this definition. Net Interest Rate...
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The interest rate spread is a simple and powerful tool for forecasting recessions and has recently been added as a component of the Conference Board's Index ...
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lending rates high while widening the interest rate spread. Kenya's experience with ... interest rate spread for the period before and after liberalization. Section 3 ...