excess interest

  • 1.

    Interest credited to an insured’s life insurance contract in excess of the amount guaranteed by the terms of the contract.

    Internal Revenue Service 1
  • 2.

    The difference between the minimum rate of interest contractually guaranteed on dividends or proceeds left with the company and the interest actually credited.

    Internal Revenue Service 2

1Internal Revenue Service, Internal Revenue Manual 4.42.6 Glossary, http://­www.irs.gov/­irm/­part4/­irm_04-042-006.html (last accessed Dec. 22, 2009).

2Internal Revenue Service, Internal Revenue Manual 4.42.6 Glossary, http://­www.irs.gov/­irm/­part4/­irm_04-042-006.html (last accessed Dec. 22, 2009).