rate lock

[reɪt lɑk]
nounpl: rate locks
travamento de taxa de juros
1. A financial agreement that guarantees a fixed interest rate for a mortgage or loan for a specified period, protecting the borrower from future rate increases
The bank offered a rate lock of 3.5% for 60 days, guaranteeing the customer would not pay more if rates rose during that period.
O banco ofereceu um travamento de taxa de juros de 3,5% por 60 dias, garantindo que o cliente não pagaria mais se as taxas subissem durante esse período.
2. The period during which a lender commits to holding a specific interest rate before closing a loan
We secured a rate lock before applying for the mortgage to protect ourselves from market volatility.
Nós garantimos um travamento de taxa antes de solicitar a hipoteca para nos protegermos da volatilidade do mercado.
Rate locks are crucial in the American mortgage market, where interest rates fluctuate frequently. In Brazil, this concept is less common but increasingly relevant as the financial market becomes more sophisticated. The practice reflects the uncertainty and volatility of housing finance markets in both countries, with rate locks providing consumer protection and predictability.
Synonyms / Sinônimos
interest rate lockrate guaranteelocked ratefixed rate commitment
Antonyms / Antônimos
floating ratevariable rateadjustable rate

Regional Variations

General Brazilian
travamento de taxa de juros
Standard formal term used in banking and financial contexts
São Paulo
fixação de taxa
Common abbreviation in financial discussions
Rio de Janeiro
garantia de taxa
Alternative term emphasizing the protective nature
Portugal
bloqueio de taxa de juro
Portuguese variation with slightly different terminology

Related Words

mortgageinterest rateAPR (Annual Percentage Rate)lock periodclosingrefinance

Related Idioms & Phrases

lock in a rate
secure a rate lock
rate lock expires
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