What is interest rate?

Interest rate is the amount charged by a lender for borrowing money. In North Carolina, the interest rate on a mortgage loan is set between the lender and the borrower. The interest rate depends on several factors including the creditworthiness of the borrower, the size and terms of the loan, and prevailing market rates. Most mortgage loans in North Carolina use a fixed interest rate, which means that the borrower will pay the same rate throughout the course of the loan. Other mortgage loans may have a variable interest rate, which means that the interest rate on the loan may change over time. It is important to note that the interest rate on a mortgage loan may be higher than the interest rate on other types of loan, due to the risk involved in lending money for such a long period of time.

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What is interest rate?

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