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Simple Interest

Interest = principal × rate × time.

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A straight interest amount, without compounding.

About this tool

Work out how much interest a deposit or a loan earns without compounding. Enter the principal, the annual rate in percent and the number of years.

How to use it

  1. 01

    Enter the principal amount.

  2. 02

    Enter the annual interest rate in percent.

  3. 03

    Enter the number of years and read the interest.

FAQ

Frequently asked questions

What is the difference from compound interest?

Simple interest is calculated on the original amount only; compound interest is also earned on previously added interest.

Can I enter part of a year?

Yes. Enter a decimal, for example 0.5 for six months.