When dealing with a loan, who benefits from compounding interest more frequently, and why?

When dealing with a loan, the lender benefits from compounding interest more frequently.

This is because the interest compounded increases further interest calculations. Compound interest in simple terms means interest on interest. When an amount is compounded, it yields interest which is added to the original amount and the amount increases. This amount is further compounded and same process is repeated again.

So, a lender is the one who gets the most benefit from compounding interest.

step-by-step explanation:

hjkj