Choosing a deposit is a crucial step: after all, as a rule, you will be deprived of access to your own money for some time. However, the game can be worth the candle if the interest on the deposit turns out to be significant enough. Therefore, it is worth figuring out how they are charged.
The algorithm for calculating interest on deposits is directly dependent on their conditions. Therefore, in order to roughly calculate how much you will receive at the end of the deposit term, you should look at your deposit agreement concluded between you and the bank.
Interest accrual at the end of the term
From the point of view of the procedure for making settlements, the easiest way of calculating interest is accrual at the end of the term. This means that the entire amount of interest income due to the depositor will be accrued on the last day of the deposit's validity period. For example, you put 10 thousand rubles on a deposit at 10% per annum for a period of 1 year. As a result, on the last day of the term of the deposit, you will be charged interest in the amount of 10% of the placed amount - 1 thousand rubles. Thus, the total amount of funds that you will receive in your hands after the end of your agreement with the bank will be 11 thousand rubles.
Periodic accrual of interest on deposits
Another variant of the interest accrual algorithm is periodic accrual. In this case, with a certain regularity established by the terms of the agreement between you and the bank, the latter will charge interest on your money. Most often, such an operation is carried out monthly, however, in a specific situation, other conditions may be provided: for example, quarterly or even daily accrual. Your interest can be transferred to a card or a special current account, from which you can withdraw the accumulated money as needed. For example, if you placed 10 thousand rubles in a bank at 10% per annum for a period of 1 year with the condition of monthly interest payments to your card account, the corresponding amount will appear on it every month. So, for example, if there are 30 days in the month under consideration, it will be calculated as 10000 * 0.1 * 30/365 = 82.19 rubles.
Accrual of interest on deposits with capitalization
A more complex mechanism is the accrual of interest on deposits with capitalization. Capitalization is the addition of interest accrued over the term of the deposit to the principal amount. Thus, the amount of your deposit increases, which means that the amount of interest to be accrued also increases. At the same time, the frequency of capitalization is also established by the terms of the agreement and can be monthly, quarterly or otherwise. Consider an example with the same conditions: a deposit of 10 thousand rubles at 10% per annum with monthly capitalization. In this case, the amount of interest accrued in the first month with a duration of, for example, 30 days, will be 82.19 rubles. It will be added to the principal amount of the deposit, which after the first month will amount to 10,082.19 rubles. Thus, for the second month lasting, for example, 31 days, interest will be accrued already on this amount: they will be 10082, 19 * 0, 1 * 31/365 = 85, 63 rubles. They, in turn, will be added to the principal amount. In a similar way, taking into account the number of days in a month, interest will be accrued in the following months of the term of the deposit.
