Effective Interest Rate

Business, Legal & Accounting Glossary

Definition: Effective Interest Rate


Effective Interest Rate

Quick Summary of Effective Interest Rate


The rate that exactly discounts estimated future cash payments or receipts through the expected life of the financial instrument.




Synonyms For Effective Interest Rate


yield rate


Cite Term


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https://payrollheaven.com/define/effective-interest-rate/
Modern Language Association (MLA):
Effective Interest Rate. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
March 28, 2024 https://payrollheaven.com/define/effective-interest-rate/.
Chicago Manual of Style (CMS):
Effective Interest Rate. PayrollHeaven.com. Payroll & Accounting Heaven Ltd.
https://payrollheaven.com/define/effective-interest-rate/ (accessed: March 28, 2024).
American Psychological Association (APA):
Effective Interest Rate. PayrollHeaven.com. Retrieved March 28, 2024
, from PayrollHeaven.com website: https://payrollheaven.com/define/effective-interest-rate/

Definition Sources


Definitions for Effective Interest Rate are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 10th January, 2020 | 0 Views.