Interest Rate Converter

Convert an annual interest rate (APR) to monthly, weekly or daily — and back.

Convert Rate

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How This Conversion Works

This converter divides your rate evenly across periods — the same "nominal rate" approach used to calculate loan and mortgage payments. For example, an 18% APR divided evenly across 12 months gives 1.5% per month, which is exactly what a lender uses to compute your monthly interest charge.

Note: this is a nominal (simple, evenly-divided) conversion, not the "effective annual rate" you'd get by compounding a monthly rate back up — those numbers will differ slightly. See the Interest Calculator if you want to explore compounding.

Frequently Asked Questions

How do I convert an annual interest rate to a monthly rate?+

Divide the annual rate by 12. For example, 18% APR ÷ 12 = 1.5% per month. This is the simple (nominal) conversion most loan calculators use.

Is this the same as the effective annual rate?+

No. This converter divides the rate evenly across periods (a nominal rate), which is how loan payments are typically calculated. The effective annual rate accounts for compounding and will be slightly higher than the nominal APR — use the Interest Calculator to explore compounding effects.