If we often use the services of financial service providers such as banks, we are definitely familiar with the term interest. For example, when we save our money in a bank account, we will get incentives in the form of interest at a certain percentage or when we borrow money from the bank we have to return the loan in larger amounts because there is an additional burden in the form of interest.
In general, interest is understood as the amount of value given or offered to the lender for his trust to lend a certain amount of money to a certain party. For example, when we put money in the bank, we will get interest, because that’s the same as us lending our money to the bank as their business capital. Conversely, when we borrow from a bank, we will be charged interest to repay the bank’s trust in us.
Interest itself is divided into two different types, namely compound interest and simple interest. Each of these interests has differences in terms of calculation and is charged for different types of financial services as well. Understanding these types of interest is certainly important, especially if we frequently use bank services. So that we can know what type of interest is being charged to us and know the details of the calculation. That way we can be more careful in choosing the financial products offered and avoid financial mistakes that can arise due to ignorance of banking mechanisms.
1. Compound Interest
Compound interest is a type of interest whose calculation includes the initial principal of the loan or investment and interest in the previous period. In simple terms, compound interest calculates interest from principal + interest. Because of this, the term “interest of interest” is often used as a shorthand definition to describe how compound interest works.
Compound interest is what we know as compound interest. This concept is often used in investing as a method to grow investment capital exponentially. Because the interest generated will be added to the investment capital in the next period, so that the interest earned in subsequent periods will be even greater.
In the context of banks, we can find compound interest on each time deposit product. Deposit interest is usually paid monthly and added to the deposit account automatically. That way, the deposit capital will be bigger in the following month and will generate a bigger return on interest as well.
To calculate compound interest, we can use the following formula:
Compound Interest Formula
I = P x ((1+i/m)mxn-1)
Information:
I = Interest Value/Return
P = Principal Amount
i = Interest rate/Return per year
m = Frequency of Interest Payments/Return per Year
n = Number of Periods (Year)
2. Simple Interest
Simple interest is a type of interest that is calculated based on the principal or initial capital without adding interest from the previous period. For example, we invest 1 million at 10% interest per month. If the investment uses simple interest, then the return on investment that we receive this month and the following months will be the same value, which is 10% of 1 million. This is what distinguishes simple interest from compound interest. Because compound interest adds 10% profit from the previous period to the investment capital in the next period.
Simple flowers are usually more common. Because its implementation is not only in investment products but also savings products or loans provided by banks and other financial service institutions. While compound interest is more commonly used in investments than loans. The compound interest system for loans is usually used more by loan sharks or illegal financing institutions that really intend to generate the greatest possible profit in the loan services they provide.
To calculate simple interest, we can use the following formula:
Simple Interest Formula
I = P x i x n
Information:
I = Interest Value/Return
P = Principal Amount
i = Interest Rate/Return per Period
n = Number of Periods
Dalam layanan keuangan, terdapat beberapa jenis sistem bunga yang digunakan untuk menghitung bunga yang harus dibayarkan atau diterima terkait dengan pinjaman, tabungan, investasi, dan produk keuangan lainnya. Berikut adalah beberapa jenis sistem bunga yang umum digunakan:
1. Sistem Bunga Sederhana (Simple Interest): Dalam sistem ini, bunga dihitung hanya berdasarkan jumlah awal (prinsipal) pinjaman atau investasi. Bunga yang diterima atau dibayarkan tetap pada jumlah yang sama sepanjang periode waktu tertentu. Bunga tidak ditambahkan kembali ke prinsipal selama periode waktu.
2. Sistem Bunga Tunggal (Flat Interest): Sistem ini mirip dengan bunga sederhana, tetapi bunga dihitung berdasarkan jumlah awal dan tetap selama masa pinjaman. Tidak ada pengakumulan bunga pada prinsipal seiring waktu.
3. Sistem Bunga Majemuk (Compound Interest): Dalam sistem bunga majemuk, bunga dihitung berdasarkan jumlah awal (prinsipal) ditambahkan dengan bunga yang sudah diterima sebelumnya. Ini menghasilkan pertumbuhan eksponensial pada jumlah yang dikenakan bunga. Bunga yang dihasilkan kemudian diakumulasi kembali ke prinsipal.
4. Sistem Bunga Berkala (Periodic Interest): Dalam sistem ini, bunga dihitung dan dibayarkan dalam periode tertentu, seperti bulanan, triwulanan, atau tahunan. Setiap periode, bunga dihitung berdasarkan saldo prinsipal saat itu dan ditambahkan ke prinsipal.
5. Sistem Bunga Efektif (Effective Interest Rate): Ini adalah bunga sebenarnya yang dihasilkan dari penggabungan prinsipal dan bunga yang diakumulasi selama periode waktu tertentu. Bunga efektif memperhitungkan frekuensi pembayaran bunga dan pengakumulasian bunga. Ini memberikan gambaran yang lebih akurat tentang berapa banyak bunga yang sebenarnya akan diperoleh atau dibayarkan.
6. Sistem Bunga Tahunan (Annual Percentage Rate – APR): APR adalah persentase bunga tahunan yang mencakup biaya lainnya, seperti biaya administrasi atau biaya lainnya yang terkait dengan pinjaman atau produk keuangan. Ini memberikan pandangan lebih komprehensif tentang biaya pinjaman atau produk keuangan.
7. Sistem Bunga Floating (Floating or Variable Interest Rate): Dalam sistem bunga mengambang, tingkat bunga yang diterapkan pada pinjaman atau investasi dapat berubah seiring waktu berdasarkan indikator tertentu, seperti suku bunga pasar. Ini mengakibatkan fluktuasi pembayaran bunga selama masa pinjaman atau investasi.
8. Sistem Bunga Tetap (Fixed Interest Rate): Sistem ini menetapkan tingkat bunga tetap sepanjang masa pinjaman atau investasi. Pembayaran bunga tetap selama periode yang ditetapkan.
9. Sistem Bunga Primer (Prime Interest Rate): Tingkat suku bunga primer adalah tingkat suku bunga yang digunakan oleh bank-bank besar untuk menentukan tingkat bunga yang mereka tawarkan kepada pelanggan yang kreditnya dianggap sangat baik.
10. Sistem Bunga Interpolasi (Interpolation Interest Rate): Dalam sistem ini, tingkat bunga dihitung berdasarkan penaksiran atau interpolasi antara tingkat bunga yang ada. Ini dapat digunakan dalam beberapa situasi ketika tidak ada tingkat bunga yang tepat tersedia.
Setiap jenis sistem bunga memiliki implikasi yang berbeda bagi peminjam, investor, dan penyedia layanan keuangan. Penting bagi individu untuk memahami bagaimana sistem bunga bekerja agar mereka dapat membuat keputusan keuangan yang terinformasi.
