Capped Rate definition
Examples of Capped Rate in a sentence
The rate set forth in Section 3.01(a) hereof, without giving effect to the reference therein to this Section 3.01(c) or to the last proviso therein limiting the Purchased Bonds Rate to the Capped Rate, is referred to in this Section 3.01(c) as the “Section 3.01(a) Rate”.
The amount of interest, if any, that would accrue on Purchased Bonds at the Section 3.01(a) Rate on any date but which does not so accrue due to the limitation of the Purchased Bond Rate to the Capped Rate shall constitute “Excess Bond Interest”.
To the extent that the Calculated Rate in any month is less than the Capped Rate for that month (the "Shortage Amount"), the Base Fee for that month shall equal the Calculated Rate and the Shortage Amount shall be carried forward and paid to the extent that the Calculated Rate in any future month exceeds the Capped Rate for that month.
The amount of interest, if any, that would accrue on Purchased Bonds at the Section 3.01(a) Rate on any date but which does not so accrue due to the limitation of the Purchased Bond Rate to the Capped Rate, but only up to the Maximum Recoverable Rate, shall constitute “Excess Bond Interest” (i.e., interest which would have been payable but for the Capped Rate, but only up to the Maximum Recoverable Rate).
Any Fixed Rate Period or Capped Rate Period will, in respect of the initial Drawdown of the Facility, commence on the date of Drawdown and any subsequent Fixed Rate Period or Capped Rate Period will commence on the date agreed by us.