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Glossary and terms about credit cardsHome » Credit Card Glossary
LIBOR
LIBOR (the London Interbank Offered Rate) is benchmark rate used as an index in setting many consumer variable rate loans. The LIBOR itself is based on the interest rates at which banks offer to lend unsecured funds to other banks in the London wholesale money market (or interbank market). Like the consensus prime rate, it is often used as a referenced rate on which many variable interest rates are based.