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Jyutpingdeng1 daap6 deng1
Yaledēng daahp dēng

Definition

Compound interest, especially the exorbitant interest on interest charged by loan sharks.

colloquialmoney

How it's used

Used primarily in the context of predatory lending or informal debt, this term vividly describes how interest accumulates on top of previously unpaid interest. It carries a strong warning tone, often implying that the debt has become unmanageable or dangerous. The imagery of nails stacking suggests a rigid, inescapable trap for the borrower.

Common phrases

to snowball and grow bigger

Common mistake

Do not use this term for standard bank loans or legitimate financial investments, as it is specifically associated with high-interest, often illicit, lending practices.

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