The difference between the rate at which the interest is paid on deposits and is charged on loans is called?
The difference between the rate at which the interest is paid on deposits and is charged on loans is called?
[A]Spread
[B]Advance
[C]Cash credit
[D]None of the above
Spread The spread is the difference between the rate of interest banks pay for deposits we leave with them and the interest rate they charge on the loans they make to others.