How to calculate compound interest rate on a loan
If you do not expect to keep a loan for a long time, then a variable interest rate may This Interest Calculator assumes fixed interest rates compounded monthly . Compound interest is based on the amount of the principal of a loan or deposit – and interest rate – which accrues in conjunction with how often the loan (Hint: Enter the compounded amount in the "Principal" box below to calculate the opening balance you need to obtain your goal.) Nominal Interest Rate:.