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Pastimes : Clown-Free Zone... sorry, no clowns allowed
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To: Shack who wrote (71254)2/23/2001 5:52:12 PM
From: UnBelievable  Read Replies (1) of 436258
 
And That Limit Will Exert Itself Even If Lenders Forgo Interest Completely But Still Require to Be Repaid the Principal.

In fact since Lenders consider three factors when they lend, their cost of funds, expectations about inflation, and the risk of default the actual rate for most commercial and consumer loans has actually increased since the Fed rate cut since although the cost of funds has decreased, the inflation risk and default risk have increased
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