When it comes to most savings accounts and some other investments, simple interest consists of interest earned on the principal amount and not on the interest that’s earned. Conversely, compound ...

Compound interest is when the interest you earn on a balance in a savings or investing account is reinvested, earning you more interest. As a wise man once said, “Money makes money. And the ...

Most people only think of interest in terms of how high or low a rate is. But understanding how interest is calculated — or how it compounds — is important, too. Using our compound interest ...

An I bond is a savings bond issued by the US Department of the Treasury. Rates for I bonds issued between May 1, 2025, and October 31, 2025, have a rate of 3.98%.

Since March has 31 days, we can use the accrued interest formula to calculate your interest payable for the month. Accrued interest = 0.000438 × 31 × $3,000 = $40.77 Average daily balance ...