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discount rate vs bank rate

bank rate vs discount rate

discount rate and bank rate both are nouns.

Word NounAdjectiveVerbAdverb
discount rate Yes No No No
bank rate Yes No No No
As nouns, bank rate is a hyponym of discount rate; that is, bank rate is a word with a more specific, narrower meaning than discount rate:
  • discount rate: interest on an annual basis deducted in advance on a loan
  • bank rate: the discount rate fixed by a central bank
discount rate (noun) bank rate (noun)
interest on an annual basis deducted in advance on a loan the discount rate fixed by a central bank
the rate of interest set by the Federal Reserve that member banks are charged when they borrow money through the Federal Reserve System
Difference between discount rate and bank rate

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