banks such as anz calculate interest daily and pay monthly like at 4.5 %p.a . in the next month will the interest u recieve, will they calculate interest over interest?
2007-07-24 15:50:39 · 5 answers · asked by vio 2 in Business & Finance ➔ Personal Finance
Yes. That's called compound interest.
2007-07-24 15:53:11 · answer #1 · answered by Lisa A 7 · 1⤊ 0⤋
yes. banks give you compound interest. You are given interest and it is added to your account balance. If you take nothing out of the account (for example) you will receive interest on the new balance.
2007-07-24 15:55:34 · answer #2 · answered by hottiecj *~♥~*~♥~* 4 · 0⤊ 0⤋
Good answers above. Lots of institutions compound daily.
2007-07-24 16:03:26 · answer #3 · answered by luckyone_27105 3 · 0⤊ 0⤋
Yes, this is called compounding.
2007-07-24 16:08:20 · answer #4 · answered by Michael S 2 · 0⤊ 0⤋
Yes , IF you leave the % in and do Not with draw it .
2007-07-24 16:15:23 · answer #5 · answered by kate 7 · 0⤊ 0⤋