Compound Interest Calculator
Compound interest is fundamentally a situation where your wealth increases at an exponential level because you earn interest on your total investments along with your principal amount, and the interest it incurs. However, today when everything is based on the fundamental of economics, it is important to have a reliable compound interest calculator by your side so that you can see that what you are earning is fair.
Here's the formula to calculate the Compound Interest :
Where
P is Principal Loan Amount
A is Compound Interest
N/n is Number of times interest compounds in a year
R/r is Rate of interest
T/t is Number of years
For example : Let’s say you invest an amount of INR 10,000 and the annual interest rate is 10% for a period of 5 years.
The returns for the
First Year = 10,000x10/100 => 1000
Second Year = 10,000 + 1,000 => 11,000
This means that the interest will be INR 1,100. And this is how the chain of interest will keep on moving year on year.
How to use Compound Interest Calculator?
- Enter the principal amount
- Enter the tenure you want to calculate the interest for
- The calculator will show you the results within a matter of moments
Benefits of Compound Interest Calculator
- It helps you in determining an accurate figure for your earnings
- It is very easy to use
- It is highly reliable
- It helps you in determining your investments in the long run
- It can help you determine your yearly returns
Frequently Asked Questions
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What is Compound Interest?Fundamentally speaking, compound interest is an interest on a loan calculated on both the initial principal interest and the accumulated interest from the previous period.
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Using this tool can I calculate the compound interest on National Savings Certificates?Yes, you can do that.
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How many times can I use the Compound Interest Calculator?You can use it for calculations as many times as you want. There is no limit to using it.
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Will my data be secured while using the Compound Interest Calculator?Yes, absolutely, your data will be secure while calculating your interest amount. This website places your security as a top priority thus you need not worry about it at all.
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Is it easy to use?Yes, using the Compound Interest Calculator you can easily find your data in a matter of moments.