Interest Rate Calculator
Calculate Interest Rates
Results
APR
0.00%
APY
0.00%
Nominal Rate
0.00%
Effective Rate
0.00%
Monthly Payment
$0.00
Total Interest
$0.00
Understanding Different Interest Rates
APR vs APY
- APR is the simple interest rate plus fees
- APY includes compound interest effects
- APY is always higher than APR
- APY better reflects true cost of borrowing
Nominal vs Effective
- Nominal rate is the stated rate
- Effective rate includes compounding
- Effective rate shows true annual return
- Frequency affects the difference
Factors Affecting Interest Rates
- Compounding Frequency: More frequent compounding increases effective rate
- Loan Term: Longer terms may have different rates
- Loan Amount: May affect available rates
- Additional Fees: Increase APR
- Credit Score: Affects offered rates
- Market Conditions: Influence base rates
Tips for Comparing Rates
- Always compare APR when shopping for loans
- Consider the effect of compounding frequency
- Include all fees in calculations
- Look at total cost over loan term
- Compare monthly payments
- Consider prepayment options
- Check for rate adjustments