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Interest Earned in a Month

If I put $5000 in an account, how much interest would it gain over a month?


There are three variables involved in calculating interest. One is the amount of the deposit, which you've given as $5,000. The second is the length of time (duration) of the deposit. That's one month in your question.

The third variable, the interest rate on the deposit, isn't given, so we will have to supply it. One on-line bank we know of was offering an annual percentage yield of 5.10% on a savings account. At that rate of interest, you'd earn about $21 in a month on a $5000 deposit.

Published on BankingQuestions.com 5/17/07