Euro LIBOR
Euro LIBOR is the interest rate that banks give to each other in the short run. If one bank has too much cash on its hands and doesn’t want to waste it by just letting it sit there, and another bank needs more reserves to meet legal reserve requirements...well...that’s a match made in bank-heaven. Banks will give each other large loans for short time periods using the Euro LIBOR rate, which...as you guessed…is in euros.
The LIBOR in Euro LIBOR stands for London Interbank Offer Rate. Besides being an interbank reference rate, it’s also used by banks making loans to people for mortgages, credit cards, and even student loans. The Euro LIBOR is the most widely used reference interest rate in the world. Yep, even in the US.
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Finance: What is LIBOR?21 Views
Finance allah shmoop what is a lie Boer No it's
not the result of these two zoo animals Mating lie
Boer stands for london interbank offering rate And it's basically
just the british quote fed unquote central bank rate reflecting
the absolute lowest interest rate at which the british banking
system well loan money to its best Most well heeled
customers like you know sainsbury's and bp and barclays and
the guy who plans royal weddings So library is the
best or cheapest rate at which the british banking system
will lend money Most loans come at some premium to
lie before i risk your loans might come in something
like on a live or plus fifty basis points or
something like that so that if lie boris currently quoted
at two point two five percent interest well then the
lie bore plus fifty loan would be loaned out at
two point seven five percent interest And libras important has
been around forever and much of the world uses it
as thie pegging number two then add some risk percentage
on top of it when they quote loans to whoever
they're loaning money to That's basically it No need for 00:01:08.819 --> [endTime] any wild animals teo you know get wild
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