An interest rate floor (cap) that comes with no additional features. In other words, the structure of a vanilla floor is basic as it consists of a number of properly constructed floorlets whereby the buyer (holder) receives payments at the end of each period in which the interest rate falls below the agreed strike price.

An example of a vanilla floor is an agreement to receive a payment for each month, over the lifespan of the floor, in which a floating rate (a reference rate like LIBOR) drops below 3%.

Adding features to a vanilla floor would convert it into an exotic floor (non-standard floor or irregular floor). Examples of such additional features include the ability of the holder to choose which floorlet to exercise (in which case the floorlet is referred to as a chooser floor).