blended rate

blended rate definition - business

blended rate

An effective rate that is a composite of two or more rates. The blended rate of interest on a variable-rate certificate of deposit will be the weighted average of the rates in effect during the period the certificate is outstanding. Refinancing a loan may result in a blended rate of interest that is an average of the rate on the loan being refinanced and the current market rate.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

Comments
Improve this definition.
Do you have more to add? Share your linguistic knowledge or observation.
/Register to save your comments.