I stands for the amount paid in interest that month/year/etc. P stands for the principle (the amount of money before interest). T stands for time periods (weeks, months, years, etc. ) involved. R stands for the interest rate, as a decimal. [2] X Research source
Interest equation: IPT=R{\displaystyle {\frac {I}{PT}}=R} Plug in numbers: $2,344$12,000∗12mo={\displaystyle {\frac {$2,344}{$12,00012mo}}=} Interest Rate Simplify equation: . 01627={\displaystyle . 01627=} Interest Rate Multiply by 100 to get the final percentage: . 01627∗100={\displaystyle . 01627100=}1. 6% monthly interest rate.
The time should be the same amount of time as the interest paid. If you’re calculating a year’s worth of monthly interest payments, for example, then you’ve made 12 payments. Make sure you check when your interest is calculated – monthly, yearly, weekly, etc. – with your bank. [4] X Research source
Search online for “Your Type of Loan + Interest + Calculator. " For example, find “mortgage interest calculator,” “CD interest calculator” or “variable APR interest calculator. "
Call up your credit card company and let them know that you’ve found better rates on other cards. If you’re a regular customer who pays on time, they will likely try to keep your business. Talk to your banker about the lowest possible rate they can give. Research other options so you can point to other offers. Be wary of variable APR or interest – it may look appealing at first, but these “deals” often turn into exorbitantly high interest rates after 1-2 years. [7] X Research source
Yearly: $110,412. 17 Monthly: $110,512. 24 Daily: $110,521. 28[8] X Research source
Auto: 4-7% [10] X Research source Home: 3-6% Personal Loans: 5-9% Credit Cards: 18-22% Payday Loans: 350-500% . [11] X Research source
Savings Accounts: 1-2%[12] X Research source CD 1-2% US Bonds (over 30 years): 3-4% 401k & IRA: 6-10%[13] X Research source
