Bid-down auction
An auction format where investors compete by accepting a lower interest rate, starting from the statutory maximum. The lowest rate bid wins the certificate. Common in Florida, Arizona, and South Carolina.
See how this plays out in a specific state: browse all 50 states, or check the full glossary for related terms.
General definition — exact terminology and mechanics vary by state and county. Always confirm against the specific county's own auction notice before bidding.