What is it for and why? I found a lot of questions on interest rate but not what interest itself is
Thanks in advance 🙂
Edit: Thank you for all the replies i am now a financial god of wisdom, i’m not going to reply to unless something is unclear to me but comments will all be read
In: 9
Bobby: Hey Sue, lend me $100. I promise I’ll pay you back!
Sue: No way, man.
Bobby: If you lend me $100, I’ll wash your car!
Sue: No way, man. I just washed my car.
Bobby: If you lend me $100, I’ll … make you dinner for a week!
Sue: No way, man. All you know how to make is toast.
Bobby: Come on! There has to be something I can offer you that will make you lend me the money. Oh I know! If you lend me $100, I’ll repay you $125, how about that?
Sue: Well, that sounds like a good deal!
The extra $25 is interest.
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