- 4.58% interest monthly
- $3300 starting balance
2006-09-03 19:15:08 · 7 answers · asked by Anonymous in Business & Finance ➔ Investing
You didn't say if that was an APR or APY. Banks have a tendency to focus on APR for loans and APY for deposits. If its and APR then the total interest is 115.10. If 4.58% is and Effective Annual Yield, the APR would be 4.487% and total interest woul be 112.72. When you inquire about a CD ask 3 questions - What is the Annual Percentace Rate, and How many times is it compounded yearly. Take that rate and divide by number of times - .0458 /12. Then add 1 = 1.003187 and raise to the 12th power and then subract 1. = .0468 or 4.68%. So, a 100 deposit would earn $ 4.68 in interest for 1 year. To calc 9 months divide the APR by 12, add 1, then raise to the 9th power, and multipy that by 3300. I hope that helps you have a little better understanding. I know it can be confusing since banks will advertise the attractive features, and kinda hide the rest of the details in the small print
2006-09-05 11:54:22 · answer #1 · answered by Turley M 2 · 0⤊ 0⤋
Mathematically it fairly is on the brink of being a wash. I calculate that, after the 4 month cd matures, you may might desire to discover a financial employer prepared to sell you a 2 month cd at 4.11%. that would desire to furnish you the main appropriate comparable return as in simple terms procuring the six month cd at modern-day. With costs of pastime predicted to drop, i will easily see short term costs being the two particularly over or particularly decrease than 4.11% 4 months from now. My gut instinct is to purchase the 4 month cd at 5.26% on the thought a poultry in hand is rather worth 2 interior the bush. yet i might desire to confess that the two bargains look genuine looking.
2016-11-24 20:43:51 · answer #2 · answered by sangster 4 · 0⤊ 0⤋
My calculation is close to PALADIN
I get $113.35
I don't think CDs pay a compound rate.
4.58% APR for 12 months = 3.3435% over 9 months time.
$3,300 @ 3.3435% = $113.35
2006-09-04 06:23:43 · answer #3 · answered by derek 4 · 0⤊ 0⤋
Hi,
You'll earn interest of $1638.01 for a total of $4,938.01. This is a very high interest rate, nearly 54% per year!!!!
2006-09-03 21:32:17 · answer #4 · answered by Vivek P 2 · 0⤊ 1⤋
you can try this formula:
future value = present value (1+rate) ^ 9
sorry i dont have scientific calculator with me =) ... i dont know if this formula is used in CD though...correct me if im wrong please
2006-09-03 19:51:24 · answer #5 · answered by sundaesoda 2 · 0⤊ 0⤋
I estimate $115.10.
2006-09-03 19:34:13 · answer #6 · answered by PALADIN 4 · 1⤊ 0⤋
get a calculator.
2006-09-03 19:16:46 · answer #7 · answered by cmil8 3 · 0⤊ 1⤋