Private lending is often used as a unit of several thousandths. Interest is calculated by time. Before calculating, it is necessary to distinguish whether it is daily, monthly or yearly. In addition, it should be noted that the score is 10 times of cm.
Interest is the use fee of money in a certain period of time, and the money holder (creditor) gets the reward from the borrower (debtor) for lending money or monetary capital.
According to the different nature of banking business, it can be divided into bank interest receivable and bank interest payable.
Interest receivable refers to the remuneration that the bank obtains from the borrower by lending to the borrower; It is the price that the borrower must pay for using the funds; This is also part of the bank's profits.
Interest payable refers to the remuneration paid to depositors by banks to absorb their deposits; This is the price that banks must pay to absorb deposits, and it is also part of the bank's cost.
Interest rate refers to the ratio of the interest amount due in each period to the par value of the borrowed, deposited or borrowed amount (called the total principal). The total interest of the lent or borrowed amount depends on the total principal, interest rate, compound interest frequency and the length of time of lending, deposit or borrowing. Interest rate is the price that the borrower needs to pay for the money borrowed, and it is also the return that the lender gets by delaying its consumption and lending it to the borrower. The interest rate is usually calculated as a percentage of one-year interest to principal.