# Dividend vs. Interest — What's the Difference?

## Definitions

#### Dividend➦

A dividend is a distribution of profits by a corporation to its shareholders. When a corporation earns a profit or surplus, it is able to pay a proportion of the profit as a dividend to shareholders.

#### Interest➦

Interest, in finance and economics, is payment from a borrower or deposit-taking financial institution to a lender or depositor of an amount above repayment of the principal sum (that is, the amount borrowed), at a particular rate. It is distinct from a fee which the borrower may pay the lender or some third party.

#### Dividend➦

(Mathematics) A quantity to be divided.

#### Interest➦

A state of curiosity or concern about or attention to something
An interest in sports.

#### Dividend➦

A share of profits paid to a stockholder or to a policyholder in a mutual insurance society.

#### Interest➦

Something, such as a quality, subject, or activity, that evokes this mental state
Counts the theater among his interests.

#### Dividend➦

A payment pro rata to a creditor of a person adjudged bankrupt.

#### Interest➦

Often interests Regard for one's own benefit or advantage; self-interest
It is in your best interest to cooperate. She kept her own interests in mind.

#### Dividend➦

A share of a surplus; a bonus.

#### Interest➦

A right, claim, or legal share
An interest in the new company.

#### Dividend➦

An unexpected gain, benefit, or advantage.

#### Interest➦

Something in which such a right, claim, or share is held
Has interests overseas.

#### Dividend➦

(finance) A cash payment of money by a company to its shareholders, usually made periodically (e.g., quarterly or annually).

#### Interest➦

A person or group of persons holding such a right, claim, or share
A petroleum interest.

#### Dividend➦

(arithmetic) A number or expression that is to be divided by another.
In "42 ÷ 3" the dividend is the 42.

#### Interest➦

Involvement with or participation in something
She has an interest in the quality of her education.

#### Dividend➦

(figuratively) Beneficial results from a metaphorical investment (of time, effort, etc.)
His 10,000 hours of practice and recitals eventually paid dividends when he become first-chair violinist.

#### Interest➦

A charge for a loan, usually a percentage of the amount loaned.

#### Dividend➦

To pay out a dividend.

#### Interest➦

An excess or bonus beyond what is expected or due.

#### Dividend➦

A sum of money to be divided and distributed; the share of a sum divided that falls to each individual; a distribute sum, share, or percentage; - applied to the profits as appropriated among shareholders, and to assets as apportioned among creditors; as, the dividend of a bank, a railway corporation, or a bankrupt estate.

#### Interest➦

An interest group.

#### Dividend➦

A number or quantity which is to be divided.

#### Interest➦

The particular cause supported by an interest group.

#### Dividend➦

That part of the earnings of a corporation that is distributed to its shareholders; usually paid quarterly

#### Interest➦

To arouse the curiosity or hold the attention of

#### Dividend➦

A number to be divided by another number

#### Interest➦

To cause to become involved or concerned with
Tried to interest her in taking a walk.

#### Dividend➦

A bonus; something extra (especially a share of a surplus)

#### Interest➦

(Archaic) To concern or affect.

#### Interest➦

The price paid for obtaining, or price received for providing, money or goods in a credit transaction, calculated as a fraction of the amount or value of what was borrowed.
Our bank offers borrowers an annual interest of 5%.

#### Interest➦

Any excess over and above an exact equivalent

#### Interest➦

(uncountable) A great attention and concern from someone or something; intellectual curiosity.
He has a lot of interest in vintage cars.

#### Interest➦

(uncountable) Attention that is given to or received from someone or something.

#### Interest➦

(countable) An involvement, claim, right, share, stake in or link with a financial, business, or other undertaking or endeavor.
When scientists and doctors write articles and when politicians run for office, they are required in many countries to declare any existing conflicts of interest.
I have business interests in South Africa.
She has an interest in the proceedings, and all stakeholders' interests must be protected.

#### Interest➦

(countable) Something or someone one is interested in.
Lexicography is one of my interests.
Victorian furniture is an interest of mine.
The main character's romantic interest will be played by a non-professional actor.

#### Interest➦

(uncountable) Condition or quality of exciting concern or being of importance.

#### Interest➦

Injury, or compensation for injury; damages.

#### Interest➦

The persons interested in any particular business or measure, taken collectively.
The iron interest;
The cotton interest

#### Interest➦

To engage the attention of; to awaken interest in; to excite emotion or passion in, in behalf of a person or thing.
It might interest you to learn that others have already tried that approach.
Action films don't really interest me.

#### Interest➦

To be concerned with or engaged in; to affect; to concern; to excite.

#### Interest➦

(obsolete) To cause or permit to share.

#### Interest➦

To engage the attention of; to awaken interest in; to excite emotion or passion in, in behalf of a person or thing; as, the subject did not interest him; to interest one in charitable work.
To love our native country . . . to be interested in its concerns is natural to all men.
A goddess who used to interest herself in marriages.

#### Interest➦

To be concerned with or engaged in; to affect; to concern; to excite; - often used impersonally.
Or rather, gracious sir,Create me to this glory, since my causeDoth interest this fair quarrel.

#### Interest➦

To cause or permit to share.
The mystical communion of all faithful men is such as maketh every one to be interested in those precious blessings which any one of them receiveth at God's hands.

#### Interest➦

Excitement of feeling, whether pleasant or painful, accompanying special attention to some object; concern; a desire to learn more about a topic or engage often in an activity.
So much interest have I in thy sorrow.

#### Interest➦

Participation in advantage, profit, and responsibility; share; portion; part; as, an interest in a brewery; he has parted with his interest in the stocks.

#### Interest➦

Advantage, personal or general; good, regarded as a selfish benefit; profit; benefit.
Divisions hinder the common interest and public good.
When interest calls of all her sneaking train.

#### Interest➦

A fee paid for the use of money; a fee paid for a loan; - usually reckoned as a percentage; as, interest at five per cent per annum on ten thousand dollars.
They have told their money, and let outTheir coin upon large interest.

#### Interest➦

Any excess of advantage over and above an exact equivalent for what is given or rendered.
You shall have your desires with interest.

#### Interest➦

The persons interested in any particular business or measure, taken collectively; as, the iron interest; the cotton interest.

#### Interest➦

A sense of concern with and curiosity about someone or something;
An interest in music

#### Interest➦

The power of attracting or holding one's interest (because it is unusual or exciting etc.);
They said nothing of great interest
Primary colors can add interest to a room

#### Interest➦

A reason for wanting something done;
Died for the sake of his country
In the interest of safety
In the common interest

#### Interest➦

A fixed charge for borrowing money; usually a percentage of the amount borrowed;
How much interest do you pay on your mortgage?

#### Interest➦

A diversion that occupies one's time and thoughts (usually pleasantly);
Sailing is her favorite pastime
His main pastime is gambling
He counts reading among his interests
They criticized the boy for his limited pursuits

#### Interest➦

(law) a right or legal share of something; a financial involvement with something;
They have interests all over the world
A stake in the company's future

#### Interest➦

(usually plural) a social group whose members control some field of activity and who have common aims;
The iron interests stepped up production

#### Interest➦

Excite the curiosity of; engage the interest of

#### Interest➦

Be on the mind of;
I worry about the second Germanic consonant

#### Interest➦

Be of importance or consequence;
This matters to me!