APY to APR Calculator
Convert APY (Annual Percentage Yield) back to APR (Annual Percentage Rate) for any compounding frequency.
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How to use this tool
- Enter the advertised APY.
- Select how often the account compounds (check the account's disclosure — monthly and daily are most common).
- Read the equivalent APR.
Banks advertise savings and CD rates as APY, which already includes the effect of compounding. This calculator reverses that to show the simple annual rate (APR) the bank is actually applying, so you can compare accounts that compound at different frequencies on equal footing.
⚠ This tool provides general estimates for education only and is not financial, tax or legal advice. Figures may not reflect your situation — verify with a qualified professional.
Frequently asked questions
- Why would I want APR instead of APY?
- APY is useful for comparing your actual annual return, but APR is the underlying rate lenders and some disclosures reference — converting lets you compare an APY-quoted savings account against an APR-quoted loan or CD.
- Is APR always lower than APY?
- Yes, whenever compounding happens more than once a year — APY is always greater than or equal to APR for the same account, since APY reflects interest earning interest within the year.