Sentence examples for teaser rate from inspiring English sources
noun
An initial, relatively low, rate of interest on an adjustable-rate mortgage designed to attract borrowers.
Borrowers get fooled into taking out a loan with an appealing teaser rate.
When the teaser rate expired and the adjustable rate "exploded," Rede could no longer afford the loans.
How many homeowners really understand how the teaser rate, introductory rate and reset rate relate to the London interbank offered rate plus some specified margin, or can judge whether the prepayment penalty will offset the gains from the teaser rate?
Banking regulators could devise a standard, default mortgage that didn't involve a teaser rate or other gimmicks.
But he said suspicion that it was a teaser rate had kept some customers from opening accounts.
Lenders would not be allowed to qualify a person based only on their ability to pay the initial teaser rate.
Pretty soon teaser rates followed by rip-offs would disappear.
Subprime mortgage loans had low "teaser" rates to lure borrowers.
Credit-card companies lured borrowers in with "teaser rates".
Mortgage borrowers on teaser rates are vulnerable to payment shock.
But analysts recognize that expiring teaser rates are only part of a much broader problem.
