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Now, Bank Loans Come With Daily Call & Put Options

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BUSINESS STANDARD
Last Updated : Jan 28 2013 | 1:08 AM IST

Credit-starved banks have started disbursing three-month money linked to the Mumbai inter-bank offered rate (Mibor), a benchmark for overnight rates. Meant for extremely creditworthy borrowers, these loans carry a call and put option daily and the interest charged on these loans is compounded daily.

These short-term loans can be rolled over.

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First Published: Sep 12 2002 | 12:00 AM IST

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