principal sum (B2)
noun phrase
Pronunciation: ˈprɪnsəpəl sʌm
Definition
The original amount of money borrowed or invested, on which interest is calculated.
Examples
The loan agreement clearly states the principal sum and the annual interest rate.
After 20 years, the investor had earned significant returns on the principal sum.
She decided to pay off the principal sum of her mortgage early to save on interest.
How to Use principal sum
- principal sum (collocation)
- The initial amount of money borrowed or invested. — "The bank requires collateral for loans exceeding the principal sum of $10,000."
Synonyms of principal sum
Words with a similar meaning to principal sum:
Antonyms of principal sum
Words with the opposite meaning to principal sum:
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