There is usually a 5 to 6 percent cap above that initial rate over the life of the loan.
He said the price would represent a significant premium because the initial rate of return was expected to be less than 8 percent.
On a credit line, the bigger the amount, the lower the initial rate.
The initial rate for the securities will be set tomorrow.
The initial rate on the securities was set at 6.86 percent.
The initial rate is 5.9 percent for the first six months.
It said the initial rate would be set next Monday.
Nowadays the initial rate offered is about 6 percent, with no points.
The initial rate will be determined when the issue comes to market.
A new initial rate for 2011/12 will be announced this September.
