Question

Why is there a difference between interest charged and interest earned?

Answer 1

Just go away you stinky dirty heck

.....

Answer 2

Interest earned is defined as the interest that the bank pays an individual when he/she deposits certain with the bank.

Interest charged is the interest that the bank claims from an individual when he/she takes a loan from the bank.

So the main difference between the two is in the first case, profit is made by an individual whereas in the second case profit is made by the bank.