The variable interest rate is the interest rate that is calculated on the basis of a reference index, usually the Euribor o the Libor, and varies as its reference index does.
It is usually obtained by adding a percentage, called the spread, to the reference index.
Related terms
Creditor | Amortization | Credit | Debt | Deposit | Debtor | Euribor | Mortgage | Mixed interest rate mortgage | Variable interest rate mortgage | Foreign currency mortgage | Reverse Mortgage | Subprime Mortgage | Interest | Loan | Interest Rate | Fixed interest rate