If a financial institution calculates interest daily, is it only business days? Is this the same for deposits as loans?

Hi Rob,

Interest is calculated every calendar day and not just business days. This is the same regardless if it is a loan or a savings account.

Hope that helps!
Nicole :)

Hi Rob, as Nicole stated yes that is correct . interest is calculated every day whether it be a business day or a weekend or a public holiday. There are ways to save interest on a mortgage if you would like some more information on that. Regards Deb

Hi Rob it is indeed accrued daily without pause on most loans. With some deposits interest can compound monthly so make sure you read the fine print.

A quote from Albert Einstein below;

Compound interest is the eighth wonder of the world. He who understands it, earns it ... he who doesn't ... pays it.

Happy to have a chat to you if you need advice.

7 days a week. Yes it's the same. You enjoy the benefit of the banks capital 7 days a week (loan) and they enjoy the benefit of your money 7 days a week.

No, everyday. They calculate interest on the loan every day you owe them money. No free rides from banks unfortunately! :)

365 days a year
but billed monthly