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Interest rate
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==Example== A company borrows [[financial capital|capital]] from a bank to buy assets for its business. In return, the bank charges the company interest. (The lender might also require rights over the new assets as [[collateral (finance)|collateral]].) A bank will use the capital deposited by individuals to make loans to their clients. In return, the bank should pay interest to individuals who have deposited their capital. The amount of interest payment depends on the interest rate and the amount of capital they deposited.
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