Talk:Interest rate cap and floor

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Additional information for article[edit]

This is a good article that I think would add to the page, it is titled "An Introduction to Caps, Floors, Collars and Swaptions." I can't add it because of a conflict of interest but if someone else wants to add it I genuinely think it would enhance the discussion. --ThowardLP (talk) 13:03, 2 June 2011 (UTC) An Introduction to Caps, Floors, Collars and Swaptions[reply]

Rename[edit]

Since Interest rate floor was redirected here I renamed it from Interest rate cap to "Interest rate cap/floor". - Jerryseinfeld 23:14, 24 Nov 2004 (UTC)

Only problem with that is that people are unlikely to link to it directly, because it is an unnatural name. Pcb21| Pete 08:01, 25 Nov 2004 (UTC)

Needs to be split into two parts or a large section deleted[edit]

This article starts with a description of the financial derivatives know as interest rate caps and floors.

Then it unaccountably and illogically switches (in section 5 and ff.) to a different subject entirely, the use of ceilings on interest rates and their role in economic policy. This section is not a general discussion, however, but seems to reflect the views of a particular researcher and may be "original research" in the Wikipedia sense.

The second section should be separated into a distinct article or removed entirely if it is found to reflect a conflict of interest or a non-neutral viewpoint. — Preceding unsigned comment added by 96.250.107.23 (talk) 19:34, 16 November 2013 (UTC)[reply]

Propose Split[edit]

As others have noted, the first and second halves of this article are about completely different concepts. The first half is about a derivative that acts as an option on an interest rate. The second half is about the implementation of a statutory cap on interest rates for loans.

While the second half does currently involve some OR (or at least reliance on a single source, it's unclear if the poster was also the author of the citation), it seems to me that the topic of statutory interest rate maximums is notable and almost certainly more notable in developing countries (as with the subject of the second half) than the derivative contract. It also occurs to me that for the purposes of the second half ONLY a maximum makes sense (I'm not aware of anywhere where there would be a minimum rate of interest), and is typically referred to as an interest rate ceiling rather than an interest rate cap.

I suggest that the second half of the article be split into a new article called "Interest rate ceiling", similar to and possibly with a link back to "Price ceiling" and "Microfinance". We can add a forward link from this article to the new article. The new article might also need some additional background to remove some of the single-source reliance.

Any thoughts? I may create a sample of this over the next several days if I have the time.

Liam3851 (talk) 16:05, 1 February 2016 (UTC)[reply]

I agree and have split the content off. Please amend as necessary Grandiose (me, talk, contribs) 19:44, 27 May 2016 (UTC)[reply]

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