A 5% APR compounded monthly is a 5.116% APY; a 20% card rate compounded daily works out to 22.13% a year.
- Semiannual
- Quarterly
- Monthly
- Daily
| APR | Semiannual | Quarterly | Monthly | Daily |
|---|---|---|---|---|
| 1% | 1.002% | 1.004% | 1.005% | 1.005% |
| 2% | 2.010% | 2.015% | 2.018% | 2.020% |
| 3% | 3.022% | 3.034% | 3.042% | 3.045% |
| 4% | 4.040% | 4.060% | 4.074% | 4.081% |
| 5% | 5.062% | 5.095% | 5.116% | 5.127% |
| 6% | 6.090% | 6.136% | 6.168% | 6.183% |
| 7% | 7.122% | 7.186% | 7.229% | 7.250% |
| 8% | 8.160% | 8.243% | 8.300% | 8.328% |
| 10% | 10.250% | 10.381% | 10.471% | 10.516% |
| 12% | 12.360% | 12.551% | 12.683% | 12.747% |
| 15% | 15.562% | 15.865% | 16.075% | 16.180% |
| 18% | 18.810% | 19.252% | 19.562% | 19.716% |
| 20% | 21.000% | 21.551% | 21.939% | 22.134% |
| 25% | 26.563% | 27.443% | 28.073% | 28.392% |
| 30% | 32.250% | 33.547% | 34.489% | 34.969% |
How it is computed
APY = (1 + APR ÷ n)^n − 1, with n the number of compounding periods per year (2, 4, 12 or 365). With annual compounding, the APY equals the APR.
FAQ
What is the difference between APR and APY?+
The APR is the quoted yearly rate; the APY includes interest earned on interest within the year. Savings products quote the APY, loans often quote the APR.
Does daily compounding make a big difference?+
Compared with monthly, only a few hundredths of a point at usual rates; the gap grows with the rate.