The nominal interest rate is the simple interest charged on a loan or paid on a deposit. Real interest is nominal interest after taking inflation’s effects into account. Economists, as well as lenders ...

The nominal interest rate may be cited in a financial institution advertisement for a loan or deposit. But nominal interest rates provide only rough estimates of how much it costs to borrow money or ...

Real rate of return adjusts for inflation, providing a true growth measure. S&P 500's real rate is 7.9%, versus a nominal 11.8%, due to inflation. Using real rates in retirement planning ensures ...

Bond investors can cheer real interest rates hitting a 15-year high. That’s because bonds historically have performed better in the wake of higher rather than lower real rates. The real interest rate ...

If you take out a loan for your business, you will pay the cost of borrowing in the form of an interest rate. Alternatively, if your business has a savings account, you will be paid an interest rate ...