While availing any financial services, one needs to know about the interest associated to the same. Interest rate is the amount of interest that occurs on the principal amount borrowed, lent or deposited. It can be considered as an extra charge on the borrowed or lent amount, or an extra benefit on the saved amount.
The interest rate applies monthly, annually, daily or weekly as decided by the financial institution and agreed by the customer or client. While seeking a loan, one always wants that the interest rate should be favourable and not too much. Therefore, people keep on searching for the best interest rate upon any financial facility.