Dictionary
/
Interest Rate

Interest Rate

The amount a lender charges for lending your money, or a borrower pays you for borrowing your money.

The amount a lender charges for lending your money, or a borrower pays you for borrowing your money.

More terms

Equity

The amount of money a company would be left with by subtracting its liabilities from the value of its assets.
Read more

Geometric Mean Return

A way of calculating compound returns on an investment or savings over a set period of time.
Read more

Accrued interest

The interest earned on a gilt since the last dividend date. When buying a gilt, the buyer pays the accrued interest at the time of a transaction to the seller in addition to the clean price of the gilt
Read more

Xetra

A trading venue operated by the Frankfurt Stock Exchange.
Read more

Bed & ISA

Understand what Bed and ISA is and how it works
Read more

Professional Client

An investor that is able to meet several regulatory criteria.
Read more

Inflation

The increase in the prices of goods and services over time, and the process by which money loses its value.
Read more

Dividends

Find out what dividends are and how they can contribute to the growth of your investment portfolio.
Read more

Ponzi Scheme

A form of fraud designed to lure new investors, and pays the earlier backers by using the new investors' money.
Read more

You’re just minutes away from commission-free investing

open an isa
When you invest, your capital is at risk

Freetrade is your gateway to commission-free investing. Join over 1.6 million users using the Best online trading platform, as voted at the British Bank Awards for six years running.

Accounts
Customer Support
Resources
Company
Important information

Freetrade does not provide investment advice and individual investors should make their own decisions or seek professional advice. The value of investments can go down as well as up and you may receive back less than your original investment. Freetrade is a trading name of Freetrade Limited, which is a member firm of the London Stock Exchange and is authorised and regulated by the Financial Conduct Authority. Registered in England and Wales (no. 09797821).

© 2026 Freetrade, All rights reserved. The Apple logo is a trademark of Apple Inc. App Store is a service mark of Apple Inc. Google Play and the Google Play logo are trademarks of Google LLC.

Follow us on