For questions about interest rate issues, please use the Inquiry Ticket or Chat system located in the Support menu of Account Management / Client Portal. When determining the quoted spread, IBKR will use the set benchmark rate or a benchmark rate of 0 for all benchmark rates less than 0.
For all below examples assume benchmark rates as follows:
| Benchmark (BM) | Rate |
|---|---|
| US Dollar Fed Funds Effective | 2.18% |
| GBP LIBOR (Overnight Rate) | 0.62% |
| EONIA (Euro Overnight Index Average) | 0.0% |
| CHF LIBOR (Overnight Rate) | 0.0% |
When you borrow money, we'll charge you daily interest on your borrowed money as follows:
| USD | Securities | Commodities | UKL | Total |
|---|---|---|---|---|
| Ending Settled Cash | -500,000 | 0 | -100,000 | -600,000 |
US Dollar Fed Funds Effective: 2.18%
| Tier Balance | Tier Rate | Cash | Interest in USD | Calculation |
|---|---|---|---|---|
| 0 - 100,000 | 1.50% | -100,000 | 10.22 | 100,000 x (2.18% + 1.50%)/360 |
| 100,000.01 - 1,000,000 | 1.00% | -500,000 | 44.17 | 500,000 x (2.18% + 1.00%)/360 |
| 1,000,000.01 - 3,000,000 | 0.50% | 0 | 0 | |
| > 3,000,000 | .30% | 0 | 0 | |
| Total | 54.39 | |||
| Distribution | Interest in USD | Calculation | ||
| Debit interest charged (securities) | 45.32 | 54.39 x (500,000/600,000) | ||
| Debit interest charged (UKL) | 9.06 | 54.39 x (100,000/600,000) | ||
| Total | 54.39 | |||
When you have a negative (debit) cash balance in your combined securities and commodities account and a negative (debit) balance in your UKL account, we'll charge you daily interest on the net debit balance as follows:
| GBP | Securities | Commodities | UKL | Total |
|---|---|---|---|---|
| Ending Settled Cash | -70,000 | 10,000 | -100,000 | -160,000 |
| Commodity Maintenance Margin | 0 | |||
| Commodity Option Value | 0 |
GBP LIBOR (Overnight Rate): 0.62%
| Tier Balance | Tier Rate | Cash | Interest in GBP | Calculation |
|---|---|---|---|---|
| 0 - 80,000 | 1.50% | 80,000 | 4.64 | 80,000 x (0.62%+1.50%)/365 |
| 80,000.01 - 800,000 | 1.00% | 80,000 | 3.55 | 80,000 x (0.62%+1.00%)/365 |
| > 800,000 | 0.50% | 0 | 0 | |
| Total | 8.19 | |||
| Distribution | Interest in GBP | Calculation | ||
| Debit interest charged (securities) | 4.095 | 8.19 x (80,000/160,000) | ||
| Debit interest charged (UKL) | 4.095 | 8.19 x (80,000/160,000) | ||
| Total | 8.19 | |||
When your combined security and commodity accounts are negative (debit) and your UKL account is positive (credit) leading to a combined negative (debit) universal account balance interest will be calculated as follows:
| EUR | Securities | Commodities | UKL | Total |
|---|---|---|---|---|
| Ending Settled Cash | -50,000 | 20,000 | 20,000 | -10,000 |
| Commodity Maintenance Margin | 0 | |||
| Commodity Option Value | 0 |
EONIA (Euro Overnight Index Average): 0.00%
| Tier Balance | Tier Rate | Cash | Interest in EUR | Calculation |
|---|---|---|---|---|
| 0 - 100,000 | 1.50% | -10,000 | 0.42 | 10,000 x (0.0%+1.50%)/360 |
| 100,000.01 - 1,000,000 | 1.00% | 0 | 0 | |
| > 1,000,000 | 0.50% | 0 | 0 | |
| Total | 0.42 | |||
| Distribution | Interest in EUR | Calculation | ||
| Debit interest charged (securities) | 0.42 | |||
| Credit interest paid (UKL) | 0 | No credit interest is paid | ||
| Total | 0.42 | |||
When you borrow money in CHF, interest will be calculated as follows:
| CHF | Securities | Commodities | UKL | Total |
|---|---|---|---|---|
| Ending Settled Cash | -500,000 | 0 | -100,000 | -600,000 |
CHF LIBOR (Overnight Rate): 0.00%
| Tier Balance | Tier Rate | Cash | Interest in CHF | Calculation |
|---|---|---|---|---|
| 0 - 100,000 | 1.50% | -100,000 | 4.17 | 100,000 x (0.00% + 1.50%)/360 |
| 100,000.01 - 1,000,000 | 1.00% | -500,000 | 13.89 | 500,000 x (0.00% + 1.00%)/360 |
| > 1,000,000 | 0.50% | 0 | 0 | |
| Total | 18.06 | |||
| Distribution | Interest in CHF | Calculation | ||
| Debit interest charged (securities) | 15.05 | 18.06 x (500,000/600,000) | ||
| Debit interest charged (UKL) | 3.01 | 18.06 x (100,000/600,000) | ||
| Total | 18.06 | |||