What is an interest rate?
1.a loan add on
2.a special type of price
3.a required bank fee
3 answers
An interest rate refers to the percentage charged by a lender to a borrower for the use of borrowed money, usually expressed as an annual percentage rate (APR). It is the cost of borrowing or the return earned on saving/investment. It is not considered a bank fee but rather a cost associated with borrowing or investing money.
which one then?
Based on the given options, an interest rate would be categorized as option 2 - a special type of price.
5 answers