The libor (London Interbank Offered Rate) is the benchmark interest rate for a whopping $800 trillion of financial instruments—that’s more than 10 times global gross domestic product. It is at the heart and core of virtually every piece of debt that is issued to consumers around the world. Credit cards, car loans, mortgages, student loans, interest rate swaps and other complex derivative products all depend on the libor rate.
And apparently libor is rigged.
