Original Interest Rate Clause Samples

The "Original Interest Rate" clause defines the initial rate of interest that applies to a loan or financial obligation at the outset of the agreement. This rate is typically specified in the contract and serves as the baseline for calculating interest payments until a change is triggered, such as a reset date or a refinancing event. By clearly establishing the starting interest rate, this clause ensures both parties understand the cost of borrowing from the beginning and helps prevent disputes over payment calculations.