Learn the differences between nominal and real interest rates, their effects on loans and investments, and how they influence economic trends and purchasing power.

When you compare savings, money market or other interest-bearing accounts, you will see either interest rates or the annual percentage yield (APY) and sometimes both. What’s the difference between the ...

With a fixed-rate mortgage, the rate literally remains fixed: It carries the same interest rate and monthly payment for the entire life of the loan. But an adjustable-rate mortgage (ARM) has an ...

The interest rate gap is calculated as interest rate-sensitive assets less interest rate-sensitive liabilities. You can use this formula to calculate it.

The interest rate on a mortgage indicates how much interest you’ll pay for the amount you borrow. The annual percentage rate (APR) is the interest rate plus additional fees and any points. Interest ...

When shopping for a mortgage, you’ll likely encounter two key terms: Annual percentage rate (APR) and interest rate. While these terms often get thrown around interchangeably, understanding the ...

Understanding the distinction between a mortgage loan’s interest rate and annual percentage rate (APR) can make you a more savvy mortgage shopper — and potentially save you some money along the way.

The APY and the interest rate are two key figures to know when storing money in a savings account or other interest-earning bank account. Both are expressed as percentages, but an account’s APY gives ...