Yield

Last Updated: Jun 7, 2019

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Yield is the income return on an investment, usually expressed as an annual percentage rate. With regards to a loan, the yield would be all the interest, fees, and other charges during the life of the loan. For example, a $1,000,000 loan outstanding for one year that charges $40,000 of interest and $10,000 of fees would have a yield of 5% ($50,000/$1,000,000).