Eurobor

EURIBOR

You have searched for information on the EURIBOR, but accidentaly typed in EUROBOR. Don't worry you can still view some information about the Euribor and get daily euribor rates.(or eurobor if you prefer).

Eurobor, correctly written Euribor, stands for Euro Interbank Offer Rate. It is basically the rate at which European banks will lend to each other. The Euroibor rate changes everyday but has a fixed base rate which is decided by the ECB. ECB stands for the European Central Bank. The ECB has to decide what rate is best for the european economy. Whether it's to control infaltion or to promote growth in the economy.

How does the Euroibor affect the man on the street? Well in many senses the Euroibor rate affects people in many ways, the most "felt" will be in mortgages. Many banks set their mortgage lending rates by the Euribor.

Eonia (Euro OverNight Index Average) is the overnight referred rate for the euro. The European Central Bank helps control the Eonia rate, and the same banks that take part in the euroibor rates also take part in the Eonia rate.

Mortgages - Many european banks use the Euroibor rate as the base rate for interest on the mortgages they provide. Many people will be watching the euribor rates when their mortgage comes up for reconsideration. Yearly reconsidered mortgages are beneficial when you land a low rate and it is kept for a year, but likewise it can be just as bad if you land a high euribor rate at the time of your mortgage reconsideration.