When you place a trade with CMC Markets and use any optional financing you will incur a borrowing cost. The transaction borrowing cost is the cost of ‘borrowing’ the value of the unfunded portion of a trade. We calculate the rate applicable to the Borrowing Cost with reference to interbank lending rates. The borrowing cost is only applicable to trades on the following product types: Indices, shares and commodities. For full details please refer to our CMC Next Generation PDS.