Interest is what someone pays someone else for temporary use of their money. Sometimes banks pay consumers for temporary use of their money, and sometimes consumers pay banks for use of their money.Read more
Featured Banking FAQ:
More Banking FAQs
- What is a certificate of deposit (CD)?
- What is a money market account (MMA)?
- What is a traditional savings account?
- What is the difference between fixed and liquid investments?
- What is the difference between compound and annual interest?
- What is FDIC insurance?
- What is the FDIC?
- What is an annual percentage yield (APY)?
- What is the Prime Rate?
- How are interest rates determined?
- What is interest and why do banks pay it?
- What is overdraft protection?
- What is the Federal Reserve?
- How should I choose the right bank?
- What is the National Credit Union Administration?
- What should I know about credit unions?
- What is online bill pay?
- What are some basic online banking terms?
- What is different about managing an account online?
- How can I safegaurd personal identification numbers and passwords?
- What should I know about online-only banks?
- What are some benefits of banking online?
- How important is security for online bank accounts?
- Should I be concerned about online security?
- What is the best way to open an online bank account?
- What are the best online banking solutions?
- Is online banking the right choice?
- What are Internet-only banking accounts?
- What is online or electronic banking?