What does Interest Accrual Rate mean?

The rate at which interest accumulates on a loan or investment over time. Interest accrual rates can be fixed, meaning the rate stays the same over the life of the loan, or adjustable, meaning the rate can change over time. The interest accrual rate is used to calculate the amount of interest that is added to the loan or investment balance over time.

Related Terms

Commercial Bank Standard Metropolitan Statistical Area Fiduciary duty Percentage Lease (Retail Only) High-Rise Fully-Serviced Lease Comparables Equivalent Level Rate (ELR) Housing Discrimination Net Lease HOA Examination of Title Loan Processing Fee Conservator Seller Take-Back Insurance As-Is Condition Estimated Gross Costs of Buying