Rate Of Interest (Noun)
Meaning
The percentage of a sum of money charged for its use.
Classification
Nouns denoting possession and transfer of possession.
Examples
- The bank offered a competitive rate of interest on new savings accounts to attract more customers.
- The government reduced the rate of interest on student loans to make higher education more affordable.
- A higher rate of interest usually means that borrowers will have to pay more money over the life of the loan.
- Investors chose the bond with the highest rate of interest to maximize their returns.
- When the central bank raised the rate of interest, many homeowners saw their mortgage payments increase.