Archive for July, 2013

What is Compound Interest?

| July 31, 2013 | 0 Comments

Compound interest is interest that adds onto the principal and the previous interest earned.  Simple interest only accrues on the principal and not previous interest payments.  Compound interest grows much faster than simple interest because it is earned (or paid) on a rising balance.  The more frequent the interest is compounded, the quicker the balance grows. When […]