Interest Rate
The rate expressed as a percentage of the principal amount of a bond used to determine the amount of interest to be paid by the issuer or the borrower.
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Fixed Interest Rate
An Interest Rate which is set at the time a Bond is issued and which does not vary during the term of the Bond.
See Also
In Contrast With
Variable Interest Rate
The interest rate on a bond which varies according to a formula set forth in the bond or the indenture or bond resolution/ordinance or based on the interest rate required by a remarketing agent to remarket the bonds at par.
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Bond Counsel
An attorney or firm of attorneys, frequently retained by the Issuer but sometimes by another party to the transaction, to render an opinion in a bond financing as to the validity and enforceability of the bonds and the treatment of the interest on the bonds under the code and applicable state law.