When you borrow money, you’ll also pay interest on top of the amount you borrowed.. Interest is the money the lender gets for loaning you the money. Read Next: 5 Subtly Genius Moves All Wealthy People ...

Learn how add-on interest increases loan costs compared to simple interest. Discover the formula, examples, and its ...

Your payment is calculated based on your chosen interest rate and repayment period. The type of loan (interest-only or amortizing) will determine the loan payment formula and how interest is ...