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What is the interest called when you borrow money from loan sharks?
Wiki User
∙ 11y ago
Interest from a loan shark is the "Vig" or "juice" as it was called. Vig is short for Vigorish.
Wiki User
∙ 11y ago
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What do people pay to borrow money?
The loan is called the principal. People pay interest to borrow money, but payment is interest plus money toward the principal.
When you borrow money from a bank the money charged to you for the loan is called?
It is called "Interest" (I'm not sure if this is right)
When banks borrow money from each other?
Banks usually borrow money from one another when they are running short of cash. They charge a smaller interest (when compared to what interest gets charged to a normal loan customer) when they lend money to other banks. This lending interest rate is called Inter-Bank Lending Rate. Banks even go to the central bank of their country to borrow money if they need it.
What kind of interest works against you if you borrow money?
compound interest
Why do banks give interest on deposit?
Banks make money by lending money to people and charging people for borrowing. The amount banks charge is called interest. Banks borrow money from other people and pay them interest on the amount borrowed. Banks charge more interest on the money they lend than they pay one the money they borrow. That is how they make money. When people deposit money with a bank, the bank is literally borrowing money from some people so they can lend it to other people. That is why banks pay interest.
What do people pay to borrow money?
The loan is called the principal. People pay interest to borrow money, but payment is interest plus money toward the principal.
The amount of money borrow is called the?
Principal is the amount of money you borrow. Interest is the fee charged by the lender (or bank) to use their money. The total amount of money you pay back is the principle + interest.
When you borrow money from a bank the money charged to you for the loan is called?
It is called "Interest" (I'm not sure if this is right)
What is money a person pays to borrow money?
Interest.
If I borrow money knowing it has interest - is it up to me to pay it and if I do not is that stealing?
If you borrow money on agreed terms, including the obligation to pay interest, then choose not to pay the interest, that would be stealing.
What kind of interest works against you if you borrow money?
compound interest
When banks borrow money from each other?
Banks usually borrow money from one another when they are running short of cash. They charge a smaller interest (when compared to what interest gets charged to a normal loan customer) when they lend money to other banks. This lending interest rate is called Inter-Bank Lending Rate. Banks even go to the central bank of their country to borrow money if they need it.
How do you understan borrowing in math?
Borrowing is the act of taking with intentions of returning it. If you borrow money, most people will charge interest on the money. Most banks charge interest yearly, sometimes monthly. The interest depends on who or where you borrow the money from.
Why do you receive interest on money that you keep in the bank?
The bank is paying you (compensating you) for the use of your money. When you borrow money from the bank, you pay them interest.
Why do banks give interest on deposit?
Banks make money by lending money to people and charging people for borrowing. The amount banks charge is called interest. Banks borrow money from other people and pay them interest on the amount borrowed. Banks charge more interest on the money they lend than they pay one the money they borrow. That is how they make money. When people deposit money with a bank, the bank is literally borrowing money from some people so they can lend it to other people. That is why banks pay interest.
What do you understand by interest?
Among other things, it refers to a payment you make to borrow money. For example, you borrow 1000 dollars, and after a while, you pay back the 1000 dollars, plus an additional amount. This additional amount is called the "interest".
Is borrowed money taxable?
Money that is borrowed is not taxable. If you borrow it and don't pay it back, it can be classified as income and be subject to income tax. If you borrow money and are not being charged interest, the government will consider the cost of interest to be income that is taxed.
