Index interest rates for FLIR loans
How is the index for interest rates determined?
Index values are fixed by the bank on a monthly basis on the penultimate day of each calendar month and are applied from the first day of the subsequent month.
Which loans does the index apply to?
The index is used to approve new loans for a period of not more than 12 months and to set a floating interest rate for future loan agreements that allow for a rate revision.
This index is not used to adjust interest rates under current loan agreements which are tied to interest rates of Term Deposits held at ProCredit Bank.
How often is the index adjusted?
As per the conditions set forth in loan agreements, the rate is adjusted every 12 or 18 months during the term of the loan.
Indexes are calculated for various deposit periods. Which ones are used by ProCredit Bank?
To calculate a floating interest rate, ProCredit Bank uses indexes for 12-month deposits, i.e. UIRD 12M, USD LIBOR 12M and EURIBOR 12M.
Where can I find more information about indexes?
More information can be found at:
UIRD (Ukrainian Index of Retail Deposit Rates) - http://www.bank.gov.ua/control/uk/index
USD LIBOR (London Interbank Offered Rate) - http://www.bbalibor.com
EURIBOR (Euro Interbank Offered Rate) - http://www.euribor-ebf.eu