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interest



Definitions (3)

1. The fee charged by a lender to a borrower for the use of borrowed money, usually expressed as an annual percentage of the principal; the rate is dependent upon the time value of money, the credit risk of the borrower, and the inflation rate. Here, interest per year divided by principal amount, expressed as a percentage. also called interest rate.

2. The return earned on an investment.

3. Partial or total ownership in an asset.




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Related Terms

accrued interest -

compound interest -

exact interest -

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... part of the Lending & Credit and Investor Relations subjects.

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