Optional Interest Rate Sample Clauses
The OPTIONAL INTEREST RATE clause allows parties to select from different interest rate options for amounts due under the agreement. Typically, this clause outlines the available rates—such as a fixed rate, a floating rate tied to a benchmark, or another mutually agreed rate—and specifies the process for making the selection, often requiring written notice or agreement at a certain time. Its core practical function is to provide flexibility in determining the cost of borrowing or late payments, accommodating changing market conditions or the parties' preferences.
Optional Interest Rate. Instead of the interest rate based on the Bank's Reference Rate, the Borrower may elect the optional interest rate listed below for this Facility No. 1 during interest periods agreed to by the Bank and the Borrower. The optional interest rate shall be subject to the terms and conditions described later in this Agreement. Any principal amount bearing interest at an optional rate under this Agreement is referred to as a "Portion." The optional interest rate available is the Cayman Rate plus 1.75 percentage points.
Optional Interest Rate. Instead of an interest rate based on the Reference Rate, the Borrowers may elect to have all or portions of their outstanding advances and loans (herein called a "LIBOR Rate Portion") bear interest based on the "LIBOR Rate" (described below), plus the addition of a spread, as described more particularly in Paragraphs 2.4(a), 3.4(a) and 4.4(a). Designation of a LIBOR Rate Portion is subject to the following requirements:
(a) The interest period during which the LIBOR Rate will be in effect will be one, two, three or six months. The first day of the interest period must be a day other than a Saturday or a Sunday on which BofA is open for business in California, New York and London and dealing in offshore dollars (a "LIBOR Banking Day"). The last day of the interest period and the actual number of days during the interest period will be determined by the Bank using the practices of the London interbank market. No interest period may extend beyond the Termination Date, however.
(b) Each LIBOR Rate Portion will be for an amount not less than $500,000, and no more than four (4) LIBOR Rate Portions, in total, per each Facility, may be outstanding at any one time.
Optional Interest Rate. (a) Instead of the interest rates based on the LIBOR Rate as described in Section 1.4 below, the Borrower may elect to have any Advance bear interest at a rate based on the Bank's Prime Rate. Tax-Exempt Advances would bear interest at the Banks Prime Rate, and Taxable Advances would bear interest at the Banks Prime Rate.
(b) The Prime Rate is the rate of interest publicly announced from time to time by the Bank as its Prime Rate. The Prime Rate is set by the Bank based on various factors, including the Banks costs and desired return, general economic conditions and other factors, and is used as a reference point for pricing some loans. The Bank may price loans to its customers at, above, or below the Prime Rate. Any change in the Prime Rate shall take effect at the opening of business on the day specified in the public announcement of a change in the Bank's Prime Rate.
Optional Interest Rate. Instead of the interest rate based on the rate stated in the paragraph entitled “Interest Rate” above, the Borrower may elect the optional interest rates listed below for this Facility No. 1 during interest periods agreed to by the Bank and the Borrower. In no event shall the optional interest rate exceed the Maximum Rate. The optional interest rates shall be subject to the terms and conditions described later in this Agreement. Any principal amount bearing interest at an optional rate under this Agreement is referred to as a “Portion.” The following optional interest rate is available:
(a) The LIBOR Rate plus 2.25 percentage points.
Optional Interest Rate. Instead of the interest rate based on the Bank's Reference Rate, Borrowers may elect the optional interest rate listed below for this line of credit during interest periods agreed to by the Bank and the Borrowers. The optional interest rate shall be subject to the terms and conditions described later in this Agreement. Any principal amount bearing interest at an optional rate under this Agreement is referred to as a "Portion." The following optional interest rate is available:
(a) The LIBOR Rate plus one and one-half (1.50) percentage points.
Optional Interest Rate. Instead of the interest rate based on Sumitomo's Prime Rate, Borrower may elect to have all or portions of the Revolving Line of Credit (during the Availability Period) bear interest at the Offshore Rate plus two percent (2.00%), as more fully described in Section 1.3(d) below (the "Optional Interest Rate"), during an interest period agreed to by Agent and Borrower. Each interest rate is a rate per annum. Interest will be paid on the last day of each interest period and, if the interest period is longer than 30 days, then on the first day of each month during the interest period. At the end of any interest period, the interest rate will revert to the rate based on the Prime Rate, unless Borrower has designated another Optional Interest Rate for that portion.
Optional Interest Rate. (a) Instead of the interest rate based on the rate stated in Paragraph 1.4 entitled “Interest Rate” above, the Borrower may elect the optional interest rates listed below for this Facility No. 1 during interest periods agreed to by the Bank and the Borrower. The optional interest rate shall be subject to the terms and conditions described later in this Agreement. Any principal amount bearing interest at an optional rate under this Agreement is referred to as a "Portion." The following optional interest rate is available: The interest rate is a rate per year equal to the BBA LIBOR Rate (Adjusted Periodically) plus one (1.0%) percentage point.
Optional Interest Rate. Instead of the interest rate based on Bank's Prime Rate, Borrower may elect to have all or portions of the Revolving Line of Credit (during the Availability Period) bear interest at the rate(s) described below (each an "Optional Interest Rate") during an interest period agreed to by Bank and Borrower (subject to the limitations set forth below). Each interest rate is a rate per annum. Interest will be paid monthly in arrears and shall be due on the first day of each month. At the end of any interest period, the interest rate will revert to the rate based on the Prime Rate, unless Borrower has designated another Optional Interest Rate for that portion.
Optional Interest Rate. Instead of an interest rate based on the Reference Rate, the Borrowers may elect to have all or portions of their outstanding Advances (herein called a "LIBOR Rate Portion") bear interest based on the "LIBOR Rate" (described below), plus the addition of a spread, as described more particularly in Paragraph 2.5(a). Designation of a LIBOR Rate Portion is subject to the following requirements:
(a) The interest period during which the LIBOR Rate will be in effect will be one, two, three or six months. The first day of the interest period must be a day other than a Saturday or a Sunday on which NationsBank is open for business in North Carolina and Georgia and that is also a day for trading by and between banks in dollar deposits in the applicable interbank LIBOR market (a "LIBOR Banking Day"). The last day of the interest period and the actual number of days during the interest period will be determined by the Agent using the practices of the London interbank market. No interest period may extend beyond the Termination Date, however.
(b) Each LIBOR Rate Portion will be for an amount not less than $500,000, and there shall be no more than four (4) LIBOR Rate Portions, in total.
Optional Interest Rate. Instead of an interest rate based on the Reference Rate, the Borrowers may elect to have all or portions of their outstanding advances (herein called a "LIBOR Rate Portion") bear interest based on the "LIBOR Rate" (described below), plus the addition of a spread, as described more particularly in Paragraphs 2.4(a) and 3.4(a). Designation of a LIBOR Rate portion is subject to the following requirements:
(a) The interest period during which the LIBOR Rate will be in effect will be one, two, three or six months. The first day of the interest period must be a day other than a Saturday or a Sunday on which BofA is open for business in California, New York and London and dealing in offshore dollars (a "LIBOR Banking Day"). The last day of the interest period and the actual number of days during the interest period will be determined by the Bank using the practices of the London interbank market. No interest period may extend beyond the Termination Date, however.
(b) Each LIBOR Rate portion will be for an amount not less than $500,000, and no more than four (4) LIBOR Rate portions, in total, per each Facility, may be outstanding at any one time.