Input Nominal annual interest rate _{(%)}, select Compounding period, then click the **Calculate** button to get the result.

### Effective period interest rate calculation formula:

Effective Period Rate _{(%)} = Nominal Annual Interest Rate _{(%)} / N

N – number of periods per year.

### Effective annual interest rate calculation formula:

Effective Rate _{(%)} = (1 + Nominal Annual interest Rate _{(%)} / N)^{N} – 1

N – number of periods per year.

Advertisements