# A savings account that pays interest every month is said to have a _______ interest period.

One recent academics question and answer asked over students to express what they agree to is the most important thing for a student to do in order for you to become success. The one that response stood out from the rest was practice. People who generally are successful do not become successful by being born. They work hard and determination their lives to succeeding. If you want to complete your goals, keep this in mind! in the following paragraphs are one of the answer and question example that you can use to practice and enhance your understanding and also give you insights that can help you to keep up your study in school.

## Question:

A savings account that pays interest every month is said to have a _______ interest period.

A savings account that pays interest every month is said to have a Quarterly interest period.

• The term “interest period” refers to either the duration for which an interest rate is set or the time frame for which interest is due.
• It could be every quarter, every month, every half-year, or even every year.
• Quarterly is one-fourth of a year (3 months).

## Do savings accounts pay interest monthly?

• With most savings accounts and money market accounts, you’ll earn interest every day, but interest is typically paid to the account monthly.

## How does interest on savings account work?

• When you earn interest in a savings account, the bank is literally paying you money to keep your cash deposited there.
• Savings accounts earn compound interest, which means the interest you earn in one period gets deposited into your account, and then in the next period, you earn interest on that interest.
READ MORE  Trials in the judiciary system divide into two main typesâ€”

## How much interest does a savings account earn?

• The average savings account earns an annual percentage yield of around 0.06%, while highyield accounts currently earn around 0.5% APY.
• Although it’s not as much as they have previously earned, it’s still better than nothing.