This figure stays the same throughout the loan term. The simple interest formula The formula for simple interest is as follows: To use a simple interest calculator or calculate simple interest by ...

Compound interest is interest calculated on both the initial principal and all of the previously accumulated interest. d3sign / Getty Images The formula for calculating simple interest is ...

When borrowing money, simple interest represents the percentage of your loan balance that you owe in fees to the lender. This figure stays the same throughout the loan term. The formula for simple ...