25% APR to APY
25% APR equals 28.0732% APY with monthly compounding, or 28.3916% APY with daily compounding.
Quick Answer: What Is 25% APR in APY?
Monthly Compounding
28.0732%
APY
Daily Compounding
28.3916%
APY
Convert a Different Rate
Not exactly 25%? Adjust the calculator below to convert any APR to APY.
25% APR to APY for All Compounding Frequencies
| Compounding Frequency | APR | APY |
|---|---|---|
| Annually | 25% | 25.0000% |
| Semi-annually | 25% | 26.5625% |
| Quarterly | 25% | 27.4429% |
| Monthly | 25% | 28.0732% |
| Semi-monthly | 25% | 28.2366% |
| Bi-weekly | 25% | 28.2493% |
| Weekly | 25% | 28.3256% |
| Daily | 25% | 28.3916% |
| Continuous | 25% | 28.4025% |
How to Convert 25% APR to APY
APR (Annual Percentage Rate) and APY (Annual Percentage Yield) differ because APY accounts for the effect of compounding. When interest compounds more frequently, you earn interest on your interest, making the effective annual rate (APY) higher than the stated APR.
APY = (1 + 25% / n)n - 1
Where n = number of compounding periods per year
For example, with monthly compounding (n=12): APY = (1 + 0.2500 / 12)12 - 1 = 28.0732%.