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Old 03-13-2008, 05:35 AM
Broken Arrow Broken Arrow is online now
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Quote:
Originally Posted by sweeps View Post
APY does let you compare apples to apples, but only if the money is in your account at the beginning of the year. If you make deposits and withdrawals during the year, there could be a difference in the interest earned depending on interesting rate, interest earning schedule, and compounding schedule.
That's why I don't like APY as a measure... because it has to take into the account of the interest compounded so far. APR would be much simpler....
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