Simple Interest Calculator

Calculate simple interest and the total amount payable or receivable for any principal, rate and time period.

What is the Simple Interest Calculator?

Simple interest is charged only on the original principal, not on accumulated interest.

How does it work?

Interest is principal × rate × time. Time can be entered in years, months or days (365-day year).

Formula

SI = P × R × T ÷ 100
Amount = P + SI

Example

₹1,00,000 at 8% for 3 years earns ₹24,000 in simple interest; the total amount is ₹1,24,000.

Frequently asked questions

Where is simple interest used?

Short-term deposits, some gold and vehicle loans, and education loan interest during the moratorium commonly use simple interest.

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