simple interest

noun

interest payable only on the principal; interest that is not compounded.

Origin of simple interest

First recorded in 1790–1800

Words nearby simple interest

simple glaucoma, simple goiter, simple group, simple harmonic motion, simple honors, simple interest, simple interval, simple joint, simple machine, simple mail transfer protocol, simple majority

British Dictionary definitions for simple interest

simple interest

noun

interest calculated or paid on the principal alone Compare compound interest

Scientific definitions for simple interest

simple interest

Interest computed only on the original principal and not on the sum of the principal plus accrued interest. The amount of simple interest remains constant. Compare compound interest.