Bank interest rate, also known as interest rate, indicates the ratio of interest to principal in a certain period, expressed as a percentage.
Formula: interest rate = interest/principal * 100%.
Generally speaking, interest rates are expressed by annual interest rate, monthly interest rate and daily interest rate.
Interest rate can be divided into deposit interest rate and loan interest rate according to the different economic relations attached to it.
From the borrower's point of view, interest rate is the unit cost of using capital, and it is the price that the borrower pays to the lender by using the lender's monetary capital; From the lender's point of view, interest rate is the rate of return that the lender obtains by lending monetary capital.