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| Definitions by InvestorWords.com |
| What is...? |
| interest 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, same as interest rate. see also accrued interest, compound interest, exact interest, ordinary interest, explicit interest, imputed interest, personal interest, prepaid interest, simple interest, with interest. Also, the return earned on an investment. Also, partial or total ownership in an asset. see also controlling interest, inchoate interest, insurable interest, open interest, security interest, short interest. |
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