Bank rate

For the company, see Bankrate.
Bank rate, also referred to as the discount rate, is the rate of interest which a central bank charges on the loans and advances that it extends to commercial banks and other financial intermediaries. Changes in the bank rate are often used by central banks to control the money supply.

United States

Various Uses for the Term "Bank Rate"

The term bank rates by visiting mortgage websites that show the various rates of interest of mortgage companies.

Difference between Bank Rate and Repo Rate

While repo rate is a short-term measure, i.e. applicable to short-term loans and used for controlling the amount of money in the market, bank rate is a long-term measure and is governed by the long-term monetary policies of the governing bank concerned.

Regional Bank Rate

Though influenced heavily by the Federal Reserve Interest rate, all bank rates will vary regionally. It pays to compare interest rates on a regional or state-wide level.

United Kingdom

In the UK bank rates are set by the Bank of England's Monetary Policy Committee. The key interest rate is called the official bank rate which is the lowest rate at which the Bank acts as lender of last resort to the money markets.

Canada

In Canada, the bank rate is defined as the upper limit of the overnight rate band announced each month by the Bank of Canada, (making it the target overnight rate + 0.25%).

Translation of "Bank rate"

Italian: Tasso ufficiale di sconto, Lao: ອັດຕາດອກເບ້ຍທະນາຄານກາງ, Japanese: 政策金利, Polish: Stopa depozytowa.