Non-interest income

Non-interest income,

Definition of Non-interest income:

  1. Interest is the cost of borrowing money and is one form of income that banks collect. For financial institutions, such as banks, interest represents operating income, which is income from normal business operations. The core purpose of a bank's business model is to loan money, so its primary source of income is interest and its primary asset is cash. That said, banks rely heavily on non-interest income when interest rates are low. When interest rates are high, sources of non-interest income can be lowered to entice customers to choose one bank over another.

  2. Non-interest income is bank and creditor income derived primarily from fees including deposit and transaction fees, insufficient funds (NSF) fees, annual fees, monthly account service charges, inactivity fees, check and deposit slip fees, and so on. Credit card issuers also charge penalty fees, including late fees and over-the-limit fees. Institutions charge fees that generate non-interest income as a way of increasing revenue and ensuring liquidity in the event of increased default rates.

  3. This represents money gained by financial institutions on investment transactions.

Meaning of Non-interest income & Non-interest income Definition

Non-Interest Income,

Definition of Non-Interest Income:

  1. Non-Interest Income means, Non-interest income is the main source of income from banks and lenders, including deposit and transaction fees, insufficient fund fees (NSF), annual fees, monthly account services and passive fees. Credit card companies also charge fines, including late fees and extra stay fees. Institutions charge fees that generate interest-free revenue to increase revenue and ensure liquidity if the fixed rate is increased.

Literal Meanings of Non-Interest Income


Meanings of Non:
  1. Rejection or absence of expression

  2. It shows neutral negative connotations when they or related forms beginning with them have a specific meaning (e.g., inhuman or inhuman).


Meanings of Interest:
  1. The state of wanting to know someone or wanting to learn.

  2. The amount that is paid permanently at a certain rate to repay the loan or to delay the repayment of the loan.

  3. Stake, operation or ownership in a company, especially finance.

Sentences of Interest
  1. Voters must express their interests

  2. Code of National Interests in India, Brazil and Africa

Synonyms of Interest

attentiveness, undivided attention, absorption, engrossment, heed, regard, notice, scrutiny, dividends, profits, returns, of benefit to, to the advantage of, for the sake of, for the benefit of, stake, share, portion, claim, investment, stock, equity, be of interest to, appeal to, attract, be attractive to, intrigue, fascinate


Meanings of Income:
  1. Regular payments are made for work or through private investment.

Sentences of Income
  1. Have a nice home and a good income

Synonyms of Income

earnings, salary, pay, remuneration, wages, stipend, emolument