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The predetermined amount an individual must pay for the use of borrowed money is called interest.

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10y ago

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Which refers to the predetermined amount an individual must pay for the use of borrowed money?

The predetermined amount an individual must pay for the use of borrowed money is called interest.


What refers to the original amount of money borrowed?

The original amount of money borrowed is known as the principal.


What following refers to the original amount of money that has borrowed on the loan?

principle


What is principle amount?

The amount of a loan or investment that does not include interest. It's the amount borrowed, or the amount currently owed in a loan (including mortgages) and the amount invested (for investments.)


What refers to the original amount of the money that was borrowed on a loan?

The original amount of money borrowed on a loan is referred to as the "principal." This is the initial sum that the borrower receives and is obligated to repay, excluding any interest or fees. The principal amount is the basis for calculating interest over the life of the loan.


What is the difference between a principal vs principle loan?

A principal loan refers to the original amount borrowed, while a principle loan refers to a fundamental belief or rule.


What is pit stop mode?

Usualy refers to a remote start system that allows you to remove the key while keeping the car running for a predetermined amount of time.


What is the difference between credit and debt?

Credit refers to money that is borrowed with the expectation of repayment, often with interest. Debt, on the other hand, is the amount of money that is owed to a lender or creditor. In simple terms, credit is the ability to borrow money, while debt is the amount that has been borrowed and needs to be repaid.


What is the breakdown of the principal payment in this loan?

The breakdown of the principal payment in a loan refers to the portion of each payment that goes towards reducing the original amount borrowed.


What is the difference between a principle and principal loan, and how does it impact the overall repayment process?

The difference between a principle and principal loan is that the principal is the initial amount borrowed, while the principle is a fundamental rule or belief. In terms of loans, the principal amount is the original sum borrowed, while the principle refers to the basic terms of the loan agreement. Understanding this difference is important because the principal amount determines the total repayment amount, including interest.


What is token mortgage?

I don't believe this is a legal term. It probably refers to a mortgage where the amount borrowed is small compared to the value of house. One reason for doing this would be to improve your credit score.


Can you explain what outstanding principal means in terms of a loan or debt?

Outstanding principal refers to the remaining amount of money that a borrower still owes on a loan or debt. It represents the original amount borrowed minus any payments that have been made towards the debt.