The actual annual interest rate that accrues, after taking into consideration the effects of compounding (when compounding occurs more than once per year).
Related information about effective annual interest rate:
- Effective interest rate - Wikipedia, the free encyclopedia
The effective interest rate, effective annual interest rate, annual equivalent rate ( AER) or simply effective rate is the interest rate on a loan or financial product ...
- Effective Annual Interest Rate Definition | Investopedia
An investment's annual rate of interest when compounding occurs more often than once a year. Calculated as the following:
- Effective Interest Rate Calculator
Tells you effective annual interest rate, or APY (annual percentage yield), given the nominal annual interest rate and the number of compounding periods. If you ...
- Effective Annual Interest Rate financial definition of Effective Annual ...
Effective Annual Interest Rate. Also found in: Acronyms, Wikipedia, 0.01 sec. Effective annual interest rate. An annual measure of the time value of money that ...
- Effective Annual Interest Rate Definition, Example & Formula ...
We explain the definition of Effective Annual Interest Rate, provide a clear example of the formula, and explain why it is an important concept in business, finance ...
- Calculating interest rates - it-educ.jmu.edu
credit on an effective annual interest rate basis? i = nominal interest rate / ∞. And the number of compounding periods in a year, n, is infinite. As the rate of ...
- Effective Annual Interest Rate Calculator & Calculation
This Online AER - Effective Annual Interest Rate Calculator is a tool specially programmed to calculate the Effective Interest Rate based on the input values of ...
- What is the relationship between effective interest rate and ...
Oct 22, 2011 ... Learn about the relationship between effective annual interest rate and ... When we talk about the effective annual interest rate, we mean the ...