The rate of interest you pay to use money is called the:
A)prime rate.
B)borrowing rate.
C)discount rate.
D)deposit rate.

Question

Quizplus · Accepted Answer

The borrowing rate is the interest rate charged to borrowers for the use of money, whether it is for a loan, credit card, or other form of financing. The prime rate is the interest rate that banks charge their most creditworthy customers, the discount rate is the interest rate at which the Federal Reserve lends money to banks, and the deposit rate is the interest rate paid to savers for depositing their money in a bank.

The Rate of Interest You Pay to Use Money Is