Definitions for "Simple Interest" Add To Word List
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Simple interest is straight forward interest, for instance, if you invest R1 000 at a simple interest rate of 12% per year, you will earn interest of R120 making your saving a total of R1 120 after the first year. For as long as your money is invested you will earn 12% per year, i.e. R120, that is added to your original investment of R1 000.
MP] A transaction in which interest is not paid interest - there is no compounding.
Interest computed upon the declining balance of a particular amount; as principal declines so does the interest payment.
The effective annual interest charged on the average loan balance outstanding.
Simple interest is the cost of borrowing or the return on lending money. This cost or return is based on three elements:- the amount borrowed or lent which is called the principal, the rate of interest and the amount of time. See Compound Interest.
Interest paid to the plan on a regularly scheduled periodic basis, as contrasted with the more typical interest compounded to maturity on a GIC.
Interest figured only on the original amount (the principal) of a loan.
A method of calculating interest using 365 as the exact number of days in a year.
The interest calculated on a principal sum, not compounded on earned interest.
A method of determining interest in which interest is computed by multiplying the outstanding principal amount by the interest rate. Simple interest does not include previous interest that has accrued on the loan.
Interest applied only on the original principal, not on the interest accrued. This means that out of each months payment a fixed amount will be applied towards finance charges and a fixed amount will be applied towards principle.
Interest that is paid on only the initial amount of the deposit.
Interest paid on the initial investment (the principal) only. Calculated by multiplying the investment principal times the annual rate of return times the number of years involved.
interest paid on the principal alone
Interest computed based on the remaining principal balance of a loan. Previously earned but unpaid interest is not included in the computation. Most mortgage loans are simple interest loans.
Interest paid solely on the original principal sum, and not on any interest earned on the principal.
Interest calculated on per annum basis.
A method of allocating monthly loan payments between interest and principal. The amount of your payment allocated to interest is calculated based on your unpaid principal balance, the interest rate on your loan, and the number of days since your last payment.
A method of calculating interest obligations in which no compounding of interest occurs. Interest charges are the product of the loan principal times the annual rate of interest, times the number of years or proportion of a year the principal has been outstanding.
Interest paid on the amount of the principal of a loan only as opposed to compound interest.
Interest paid only on the initial investment. Simple interest is calculated by multiplying the principal times the annual rate of interest times the number of years involved.
Interest calculated on the original balance only, not on accumulated interest.
Interest compounded on the principal only
Interest that is calculated on the outstanding balance of your motorcycle loan. Typically, simple interest installment loans are the best type of motorcycle financing available for consumers. Watch out for pre-computed interest and rule of 78 interest methods.
Rate of interest for a given period, calculated as a straight rate (in contrast to compound interest).
This is a debt based on simple interest, that is interest only calculated on the principal of the debt.
Interest calculated by considering only the original principal amount.
Interest that is paid only on the original amount borrowed for the length of time the borrower has use of the credit. The amount borrowed is referred to as the principal. In the simple interest rate calculation, interest is computed only on that portion of the original principal still owed.
Interest calculated as a simple percentage of the original principal amount. Compare to compound interest.
Interest computed on the unpaid principal amount of the loan without provisions for additional interest to be paid on interest.
Interest that is computed only on the principal balance.
Simple interest is usually computed annually as a flat rate. The daily amount of interest is figured by taking the amount of the loan and multiplying it by the interest rate.
Interest charged by Crédit Municipal, based on the amount and term of the loan.
Interest charged for a specific period with no compounding.
Interest charged on the principal balance of a loan, but not charged on interest that has accrued over time.
It's the interest charge computed on the original principal. It is compared with compound interest, which is applied to the original principal and accumulated interest.
a method of calculating the earned finance charge by applying the annual percentage rate to the unpaid balances for the actual time those balances were unpaid up to the date of prepayment. The basic concept is that the finance charge is computed only on that portion of the original amount financed which is still owed.
Interest which is computed only on the principle balance.
Interest computed on the principal amount of a loan only as distinguished from compound interest.
Interest computed on the unpaid principal balance of a loan, as opposed to compounded interest.
Interest computed only on the original amount of a loan.
Interest that is calculated on the principal portion of your loan.
A charge for the use of money which is calculated on a periodic basis as a percentage of the principal borrowed. No further interest is charged on interest accumulated in earlier periods.
Interest applied to the original sum invested (as opposed to compound interest ). Eg. 1000 invested over two years at 10% per year simple interest will yield a gross total of 1200 at the end of the period (10% of 1000=100 per year).
Interest that is earned or paid on the principal amount only.
Interest computed only on the principal balance, without compounding.
Simple interest is interest that is paid only on the principal balance of the loan and not on any accrued interest. Simple interest is calculated by multiplying the amount of principal by the interest rate by the amount of time it is accruing. Most federal student loan programs offer simple interest. Note, however, that capitalizing the interest on a loan is a form of compounded interest.
Interest payable on the principal amount of the loan only.
Interest which in computed only on the principle balance.
Interest which is calculated only on the principal balance. It is not compounded by calculating interest payable on accrued interest.
Interest computed on the outstanding principal only.
Interest that is charged only on the principal amount outstanding.
Interest computed on a principal balance for a specified period. See also compound interest.
Interest paid and computed only on the principle.
Interest calculated on money invested for an agreed period.
Interest computed on the principal balance, and disregards previously accumulated (upaid) interest.
A method of calculating the future value of a sum assuming that interest paid is not compounded, i.e., that interest is paid only on the principal.
Interest which is computed only on the principal balance.
A method of calculating interest due by applying a periodic rate to the outstanding balance on a daily basis. As payments are received they are applied first to the accrued interest and then to the principal amount.
An amount earned on an account holder's principal, according to a specified rate. This does not include any compounding interest.
This is interest that is computed only on the outstanding principle balance.
Interest calculation based only on the original principal amount. Simple interest contrasts with compound interest, which is applied to principal plus accumulated interest.
Interest is only applied to the principle amount.
Allocation of your monthly payment between interest and the principal amount based on the amount borrowed, term of the loan and the balance amount due at a certain point of time.
interest that is paid only on the amount of the initial deposit and not on any interest the deposit earns over time, unlike compound interest (e.g.: in year 1, the bank pays you \$5 interest on your \$100 deposit; in year 2, it again pays you interest only on the original \$100 deposit)
Interest earned only on the initial principal, not on the accrued interest.
Interest computed only on the principal balance. Also see Compound Interest.
Interest computed on the principal balance outstanding as long as any portion remains unpaid.
The interest rate on a loan based only on the initial amount of the loan. Over time, the interest charges grow in a linear fashion. e.g. a \$1000 loan earning simple interest of 10% per annum would accumulate to \$1100 at the end of the first year, \$1200 to the end of the second year, etc. Compare with Compound interest. Français: Intérêt simple Español: Interés simple
Interest computed on principal alone, as opposed to compound interest.
Interest calculated only on the initial investment.
The sum of interest paid solely on the initial investment.
Interest that is calculated only on the principal balance, without compounding.
A method of calculating interest in which the amount of the interest is computed on the outstanding principal balance of a loan for each given period.
Interest computations that are calculated only on the original principal amount.
The type of interest that is earned on the original principal only. Contrast with compound interest. TO TOP
Non-compounding interest computed on the principle balance only.
Interest computed only on the principal balance. Contrast with compound interest.
Interest computed on the principal balance only.
Interest is paid on a set principal only and not re-invested.
a method of calculating interest on outstanding balances that produces a declining finance charge with each payment of the installment loan
The interest paid on the initial investment alone, as opposed to compound interest which includes interest earned on previous interest payments as well as on the initial investment.
Interest that is calculated only on the principle balance.
Interest computed only on the original loan amount.
Interest that is paid on the principal amount borrowed. Considered the best interest term for a borrower because it is not compounded.
Most home loans use simple interest which is the interest rate charged on unpaid principal.