Posted 1/31/2016 11:22 (#5076865 - in reply to #5076803) Subject: RE: Kroger int rate, two notches above junk
Yes, both. Loans have a fixed cost. A $25k operating loan would have a similar fixed cost to a $250k operating loan. So, if you spread those fixed costs over more dollars, they can charge a lower rate. When I was in banking, the curve really flattened out around 250k. I'm just guessing at the 3-400k number. Not all banks would figure things this way. Some banks really aren't that good at math.
Interest rates on operating notes
