Glossary / General

basis points

8 Episode Mentions

Too Afraid to Ask

Basis points are a way to talk about small changes in interest rates. One basis point is just one-hundredth of a percent, so it helps when discussing tiny adjustments.

Technical Definition

A basis point is a unit of measure used in finance to describe the percentage change in value or interest rates. One basis point is equal to 0.01%, making it a useful way to express small changes in rates.

Hear It Discussed

"Approval rates you mentioned that I touched on in a second ago were up to 74%. This is 170 basis points up month over month. 170 basis points is 1.7% up month over month."
The Car Loan Apocalypse Is Here | Episode 1107 CarEdge Live 04:32

"That's up 170 basis points from May and 150 points here over year after dipping just 70% back in February."
Transparency in Automotive Advertising Panel | Daily Dealer Live Car Dealership Guy Podcast 02:07

"Let's say that the lender approved you based on your credit at 6%, but they give the dealer up to 2 percentage points or 200 basis points, as bankers like to say."
The most common car dealer scams and how to recognize them when they are happening My Car Guru Podcast 11:56