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Interest Rate

An interest rate refers to the cost of borrowing money or an asset, expressed as a percentage of the borrowed amount. This percentage is what the lender charges the borrower for the use of the asset or funds. Interest rates can vary depending on several factors, including the type of loan or asset, the borrower's creditworthiness, and prevailing market conditions.

It's important for borrowers to carefully consider the interest rate when taking out a loan or borrowing an asset, as it directly impacts the overall cost of the loan or borrowing arrangement.

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