Interest Rate Trends

Sooner Solutions logo EMAILI’ve been recording certain interest rates on a weekly basis for several years, and it’s interesting to note that, for the first time in decades, the five-year swap rate fell to under 3%.  (For the uninitiated, the swap rate is the rate at which banks will lend to each other.)

The significance for those who need Medical Equipment Finance or any other form of Asset Finance is that you should be able to secure a five-year loan at close to 5% (assuming that lenders need ~200 basis points for margin and risk).

Also for the first time, the best three-year and five-year term deposits are in ‘lock-step’ at 4.2%.

trendlines 28-11-14

 

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