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Definition
Rate pass-through describes the extent and speed with which a change in the base rate or reference rate feeds into what you actually pay. A tracker passes through fully and immediately; a standard variable rate may pass through partially, slowly, or not at all when rates fall.
In plain terms
It is the difference between what the headlines say rates did and what your bill actually does. Not every cut reaches you, and not every rise waits.
Why it matters for your company
Know how your facility passes through rate changes so a cut is not quietly withheld. See how base-rate changes hit your repayments.
Credicorp lends to your company, not to you personally, and takes no personal guarantee. See indicative terms on business loans, or apply online in minutes.
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Variable rate
A variable rate is an interest rate that can change over the life of a facility, typically because it tracks…
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Advance rate
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Read →Funding for UK limited companies
Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.