This tool can be used to calculate Interest rate per day from the Annual interest rate (%). It also calculates the interest accrued every day.
Calculator
Enter
- Annual Interest Rate
- Principal Amount
How to Calculate Interest Rate Per Day
Formula for Daily Interest Rate
Daily Interest Rate = Annual Interest Rate/365
Steps for Calculation
- Determine the Annual Interest Rate: This is usually given by your financial institution.
- Divide by 365: This will give you the daily interest rate as a percentage (%)
Example Calculation
Suppose you have a savings account with an annual interest rate of 5%, and your principal amount is $10,000. Using the calculator, here’s the daily interest rate and amount:
- Annual Interest Rate: 5% or 0.05
- Interest Rate Per Day: 0.0137%
- Interest per day: $1.37
So, the daily interest accrued on your savings account would be $1.37.
What is Daily Interest?
Daily interest refers to the amount of interest that accrues on a loan, deposit, or investment each day. This calculation is crucial for financial products that compound interest daily, such as savings accounts, credit cards, and some types of loans.
Why Use a Daily Interest Rate Calculator?
Using a daily interest rate calculator can help you:
- Track Interest Accrual: Understand how much interest is being added each day.
- Plan Payments: Determine the impact of daily interest on loan repayments.
- Maximize Savings: Optimize savings strategies by understanding daily interest growth.
- Compare Financial Products: Evaluate different accounts and loans based on their daily interest rates.