DEFINITION of 'Anticipated Interest'
The amount of interest that a savings vehicle will accrue by some future date, assuming there are no deposits or withdrawals during the intervening period. Anticipated interest factors in compound interest. For example, a oneyear, $1,000 certificate of deposit with a 2% annual interest rate would have anticipated interest of $20.15. Anticipated interest can also describe to the total amount of interest that is expected to be paid on a loan with a specified payoff date, such as a mortgage or car loan. If the loan is repaid early, the actual interest will be less than the anticipated interest.
BREAKING DOWN 'Anticipated Interest'
An investor putting a lump sum into a highyield savings account, such as those typically offered by online banks, would have a greater amount of anticipated interest than someone putting the same sum into a traditional savings account, which typically pays a rockbottom interest rate. Regardless of the savings vehicle, it is important to understand how the bank calculates compound interest (e.g., daily, monthly, semiannually) to know how much interest you can anticipate.

Anticipated Balance
The amount that a savings account will have at some future date, ... 
Periodic Interest Rate
The interest rate charged on a loan or realized on an investment ... 
Compound Interest
Compound Interest is interest calculated on the initial principal ... 
Stated Annual Interest Rate
The return on an investment that is expressed as a peryear percentage, ... 
Continuous Compounding
The process of earning interest on top of interest. The interest ... 
Simple Interest
A quick method of calculating the interest charge on a loan. ...

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What formula can I use to calculate interest on interest?
Find out more about compounding interest, what it measures and how to calculate the amount of compound interest accrued using ... Read Answer >> 
What is the difference between compounding interest and simple interest?
Learn about simple interest and compound interest, how to calculate the two types of interest and the main difference between ... Read Answer >> 
How can I tell if a loan uses simple or compound interest?
Learn the differences between simple and compound interest and how you can use mathematical calculations and lender disclosures ... Read Answer >> 
What does it mean when interest "accrues daily?"
Find out what it means when an interestbearing account accrues interest daily and how different compounding periods change ... Read Answer >> 
How often is interest compounded?
Understand what compound interest is and how the compounding of interest applies to the benefit of investors or creditors, ... Read Answer >> 
Other than my savings account, what other types of holdings compound my interest?
Understand the benefits of compounding interest, and learn the types of investments that offer compounding in addition to ... Read Answer >>