Interest

	Definition of 'Interest' 1. The charge for the privilege of borrowing money, typically expressed as an annual percentage rate. 2. The amount of ownership a stockholder has in a company, usually expressed as a percentage. Interest is commonly calculated using one of two methods: simple interest calculation, or compound interest calculation.
	Investopedia explains 'Interest' 1. Lenders make money from interest, borrowers pay it. 2. Someone who holds more than 5-10% of the stock in a company is said to hold significant interest.

Related Definitions

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