collocation · academic
interest rate
/ˈɪntrəst ˌreɪt/IN·ter·est RATE
Band 4-5task2speaking
the percentage charged on a loan or paid on savings over a period of time
Examples
“The central bank raised interest rates to control inflation.”
“A lower interest rate makes mortgages cheaper.”
“Compare interest rates before taking out a loan.”
Band 8 sentence
“When deciding whether to remortgage, it's essential to compare interest rates across different lenders.”
Collocations
- high interest rate
Word family
interest nounrate nouninterest-free adjective
Common mistakes
interest percent→interest rate
The interest is five percent.→The interest rate is five percent.
Say it for a higher band
5interest→6lending rate→7+interest rate
Synonyms
lending rate
Easily confused
interest
“Banks pay interest on savings accounts.”
Related words
Learn this word with the rest of its set, and get reminded at the right time.
In Shopping & Money
Learn it with its set