Daily rate
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The daily rate of interest (or yield) is a quoting convention for the simple interest nominal annual rate for compounding once per day.
Example
The quoted daily rate is 5.11%.
The amount of interest compounded daily is:
5.11% / 365
= 0.014%.
Not to be confused with the annual effective rate, which in this case would be:
1.00014365 - 1
= 5.24%.
