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effective interest rate |
Also found in: Wikipedia | 0.03 sec. |
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Effective Interest Rate The annual rate at which an investment grows in value when interest is credited more often than once a year. effective interest rate The actual interest rate of a loan,regardless of the face interest rate or the rate quoted.See annual percentage rate. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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In 2004 the combined trust fund assets earned interest at an effective annual rate of 5. The $15 million of surplus relief for one year equates to an effective annual rate of about 6. 5%, compared with prior guidance issued in July 2006 for an effective annual rate in the range of 39. |
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