Discount Rate

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Discount Rate

Summary of Discount Rate

Also known as the re-discount rate, the rate of interest charged by the Federal Reserve to member banks for advances. The rates are set every fourteen days by the regional Federal Reserve banks upon approval of the Board of Governors of the Federal Reserve system.

The discount rate is a prime factor in determining the amount of credit available and serves as an index upon which commercial banks base their lending rates to customers.

(Main Author: William J. Miller)

Hierarchical Display of Discount rate

Finance > Financial institutions and credit > Credit policy

Discount rate

Concept of Discount rate

See the dictionary definition of Discount rate.

Characteristics of Discount rate

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Translation of Discount rate

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Finance > Financial institutions and credit > Credit policy > Discount rate

See also

  • Fracture
  • Injury
  • Lesion
  • Wound
  • Inland revenue
  • Tax inspector
  • Rate of discount
  • Discount interest rate

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