I am using Mint. There are several categories for the loan.

My understanding is that both Loan Fees and Charges and Loan Interest are what I pay to the bank.

What is the difference between them? Thanks

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1 Answer 1


The interest is simply the charge or cost of borrowing the money, it is charged as a percentage rate of the outstanding amount of the loan.

Loan Fees and Charges are usually a dollar amount (but can be expressed as a percentage) charged on the account. Examples could be Loan Establishment Fee, monthly Account Keeping Fees, and Dishonour Fee.

Fees and charges are charged over and above the Loan Interest.

  • Another common type of loan fee is a loan prepayment fee when payment has been made before schedule on a loan contract that does not allow for such prepayments. This is standard on residential mortgage loans.
    – ApplePie
    Aug 2, 2017 at 14:54

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