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borrowing cost

borrowing cost

4 3.1
Money you pay in interest and fees to use money from a bank or another person
  • noun
  • Specialized
translation icon : costo de préstamo
  • That means new buyers are dealing with higher borrowing costs, but so are longtime owners who bought back when rates were higher than they are today.
  • borrowing costs rise
  • low borrowing costs
  • high borrowing costs

And, and, and what's called fiscal dominance is when interest rates are set more to keep borrowing costs low than to stabilize the economy.

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Examples

  • Moody's has warned it may downgrade Puerto Rico's debt, which would raise the territory's borrowing costs and further stretch its balance sheet.

    Blog text (21)
  • A ratio above 90 percent is generally considered high and can put pressure on governments' borrowing costs.

    Blog text (5)
  • And while our borrowing costs are affordable right now, interest rates and inflation may not stay low forever.

  • When rates are low, sales are high, borrowing costs are better and consumption is higher.

  • Their presence reduces borrowing costs for customers.

    Academic text (2018)
  • Many argued that higher borrowing costs should not matter for these stocks, as they have no debt and nothing can slow down their growth.

  • Who pays for this in the future, both the borrowing cost and the actual payments?

    Blog text (19)
  • The plan is an attempt to temporarily reduce borrowing costs for Spain and Italy, which it is doing, at least temporarily.

    Blog text (20)
  • The European Central Bank has been buying euro-zone bonds in an effort to keep borrowing costs of weakened members from exploding.

    Blog text (23)
  • Many argued that higher borrowing costs should not matter for these stocks, as they have no debt and nothing can slow down their growth.

Synonyms

interest
vsborrowing cost
  • Specialized
619 3.3

Extra money paid when you borrow money or earned when you save money

focuses on the overall charge for using money or assets, not just regular payments
interest expense
vsborrowing cost
  • Specialized
3 3.9

Money a company pays for borrowing money recorded as a cost in its accounts

is the total charge for use of money or assets rather than its accounting entry
carrying charge
vsborrowing cost
  • Specialized
6.9

A fee charged for keeping an unpaid balance on an account

covers charges for use of money or assets rather than maintenance or installment fees

How Expensive

prohibitive
19 7.4
high-interest
12 4.2
borrowing cost
  • Specialized
4 3.1
low-interest
  • Specialized
33 3.4

Surface Forms

Morphology

borrowing + cost

The meaning is directly compositional: 'borrowing' (the act of taking money) combined with 'cost' (monetary amount) clearly yields the amount charged for borrowing. This economic compound follows common cross-linguistic patterns (e.g. cost of loan) so a B1 learner who knows both words would readily infer the MWE meaning.

Etymology

The term borrowing cost comes from a simple image: borrowing is taking money to use and cost is the price you pay. So it means the amount charged for using money, like 'interest' or 'fees'.