discount rate
noun
1
: the interest on an annual basis deducted in advance on a loan
2
: the charge levied by a central bank for advances and rediscounts
Examples of discount rate in a Sentence
Recent Examples on the Web
Investor time horizons tend to be shorter and grounded by the time value of money, discounting the future value of an investment back to the present using some discount rate and likelihood of payoff.
—
Martin Jarzebowski, Forbes, 9 Jan. 2025
Consumer groups have long been skeptical the new flat fee will actually create any overall savings, nor does anyone know how customers will prove their incomes are low enough to get discount rates.
—Thomas Elias, The Mercury News, 31 Dec. 2024
This translates to approximately $625,000 in additional lifetime earnings (using a conservative 3% discount rate and accounting for the opportunity cost of being out of the workforce during college years).
—Chris Muller, Forbes, 29 Dec. 2024
This means that Amex charges merchants higher discount rates than Visa and Mastercard (about 3%).
—Trefis Team, Forbes, 24 Dec. 2024
See all Example Sentences for discount rate 
Examples are automatically compiled from online sources to
show current usage.
Read More
Opinions expressed in the examples do not represent those of Merriam-Webster or its editors.
Send us feedback.
Martin Jarzebowski, Forbes, 9 Jan. 2025
Consumer groups have long been skeptical the new flat fee will actually create any overall savings, nor does anyone know how customers will prove their incomes are low enough to get discount rates.
—Thomas Elias, The Mercury News, 31 Dec. 2024
This translates to approximately $625,000 in additional lifetime earnings (using a conservative 3% discount rate and accounting for the opportunity cost of being out of the workforce during college years).
—Chris Muller, Forbes, 29 Dec. 2024
This means that Amex charges merchants higher discount rates than Visa and Mastercard (about 3%).
—Trefis Team, Forbes, 24 Dec. 2024
See all Example Sentences for discount rate
Dictionary Entries Near discount rate
Cite this Entry
“Discount rate.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/discount%20rate. Accessed 22 Jan. 2025.
Copy CitationLove words? Need even more definitions?
Merriam-Webster unabridged
Share