You will need
- - ballpoint pen or pencil;
- - a sheet of paper.
To understand how is the interest on the Deposit, you need to carefully read the contract proposed by the Bank. The fact that you can use two ways: you can create a simple or contribution with capitalization, this condition should be stipulated in the document.
In the simple Deposit accrued interest the Bank shall credit to a separate account client, not joined to the main contribution. The interest on this Deposit is quite simple to calculate, they are paid to the depositor according to the contract: monthly, quarterly, annually or on maturity. More profitable investments with capitalization of interest: in this case their sum is attached to the main body of the Deposit, so that it increases as the interest on it. Such contributions bring higher yields than ordinary deposits.
To calculate the size of income according to the formula of simple interest, the initial Deposit amount must be multiplied by the annual interest rate specified in the contract and the number of days passed since the last time the accrual of interest. The resulting amount is divided by the number of days in the current year and again divided by 100. This will be the amount of interest on the Deposit. Adding to them the original indicator, you can know what amount will be given by the Bank for withdrawal of Deposit. Thus, to calculate the contribution at simple interest according to the formula: Deposit Amount + % = Total. beg + (Sum early. * % rate * number of days of accrued % / number of days in a year) / 100.
Deposit with interest capitalization calculation is performed differently. In this case, the formula would be as follows: Deposit Amount+ % = Count early. * (1 + Sum early. * annual % rate * number of days of accrued % / number of days in a year) / 100 * N, where N is the number of interest periods. For example, having a Deposit of 1000 rubles at the rate on the Deposit is 10%, the expense monthly will have 100 rubles, and 1/12 of the annual percentage or approximately 83 rubles for simple interest. If you Deposit with capitalization these figures are totaled at the end of each reporting period, specified in the contract, and the interest on the Deposit will already be calculated with a sum of 1000+83=1083 ruble, etc.
Banks are required to charge daily interest on deposits. This requirement of the Central Bank of the Russian Federation, which should be followed by all credit institutions. In addition, certain conditions to interest calculation are specified in the contract on the Deposit.
With a little practice you can calculate the interest on deposits is easy. We must not forget the need to carefully read the contract on the Deposit when signing. To use this financial instrument with the greatest benefit for yourself, you should try to understand its basic principles and to choose credit organizations offering the most favorable terms.