Interest Rate
It is a percentage paid or charged on a borrowed money and is expressed annual or monthly. It is a compensation for the use of money.
If you borrow $10.000 at 5% interest rate, you would have to pay $500 of interest.
| Related Terms: Compound Interest Future Value - FV Equity Mortgage Floater Floating Interest Rate Guaranteed Investment Contract – GIC Growing-Equity Mortgage Interest Rate Cap Interest Rate Risk LIBOR |