Term
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Definition
| Interest payable only on the principal; interest that is not compounded. |
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Term
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Definition
| Interest paid on both the principal and on accrued interest. |
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Term
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Definition
| The rule number is divided by the interest percentage per period to obtain the approximate number of periods (usually years) required for doubling. |
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Term
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Definition
| Not subject or liable to taxation. |
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Term
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Definition
| Noting or providing income that is not taxed until a later time. |
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Term
| Annual percentage Yeild (APY) |
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Definition
| A normalized representation of an interest rate, based on a compounding period of one year. |
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Term
| Certificate of deposit (CD) |
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Definition
| A time deposit, a financial product commonly offered to consumers in the United States by banks, thrift institutions, and credit unions. |
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Term
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Definition
| A U.S. government savings bond that offers a fixed rate of interest over a fixed period of time. |
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