Gwinnett County will save about $18.5 million by refinancing some of its debt, the county announced Monday.
The county recently refinanced some 2008 water and sewer bonds to take advantage of lower interest rates. As a result, Gwinnett’s interest rate on the bonds fell from 4 to 5 percent to about 1.69 percent.
It’s not the first time Gwinnett has taken advantage of historically low interest rates. Since 2011, the county has saved more than $50 million by refinancing debt.
“Strong demand for Gwinnett County government bonds means significant savings over the long run when we choose to refund debt,” County Commission Chairwoman Charlotte Nash said in announcing the latest move. “It’s similar to when a homeowner refinances a mortgage and saves money due to lower interest payments on the note.”
Since 1997, Gwinnett has maintained an AAA bond rating – the highest credit rating possible – from the three major credit rating agencies.
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