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The difference between the rate charged to borrowers and the rate paid to depositors is known as the interest rate ______.

1 Answer

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Answer:

The right approach is "spread".

Step-by-step explanation:

  • The variation between the expected production a financial institution generates from loan payments among several other interests accumulating operations as well as the average rate everything just ends up paying on deposit accounts as well as borrowings seems to be the total rate of interest spread.
  • An important aspect including its profitability of such a finance company seems to be the aggregate rate.

So that's the right response earlier in this thread.

User Steve Landey
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