What are 'interests'? 💸 Basically, when you borrow money, you have to pay extra for it—that’s interest. There are two types: compound interest, which means you pay interest on top of the interest already added, and simple interest, which only grows based on the original amount you borrowed. For example, if you borrow ₱100 and have to pay back ₱150, that extra ₱50 is the interest. On the bright side, you can also earn interest by putting money in savings accounts or investing in things like bonds. But if you owe money on credit cards or loans, you could end up paying back a lot more over time. #KaskasanBuddies #Finance101