discount rate
noun[C]
ukusFINANCE,BANKING
therateofinterestthat a country'scentralbankchargesforlendingmoneyto otherbanks:
cut/lower/raisethediscountrate
acut/reduction/increasein thediscountrate
Thecentralbankslasheditsofficialdiscountrate, at which itlendstocommercialbanks, topreventtheeconomyfromslidingintorecession.
FINANCE,ACCOUNTING
arateofinterestthat you use tocalculatethepresentvalueof anamountofmoneythat youreceiveorpayin thefuture:
Intermsofcurrentmarketpricesa 10%discountratewouldimplyayieldof 10.08% over 30days.
FINANCE(alsobill rate)
therateby which thepriceof abillofexchangeisreducedif it isboughtbeforeitspaymentdate
COMMERCE
areducedpricedthat isofferedtocustomersif theybuylargequantitiesofproductsorservicesor if theypayabillby anagreeddate