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Simple Interest Calculator
Calculate simple interest on loans and investments
About Simple Interest Calculator
Simple interest is calculated only on the principal amount. It's commonly used for short-term loans, car loans, and some personal loans. The interest doesn't compound over time.
Simple Interest Tips
- Formula: I = P × r × t (Interest = Principal × Rate × Time)
- Principal: Initial amount borrowed or invested
- Rate: Annual interest rate (convert to decimal)
- Time: Duration in years (convert other units)
- No Compounding: Interest doesn't earn additional interest
- Common Uses: Car loans, short-term personal loans