FinancialLevel: ExpertAvailable in: Excel 2007+
In this article
- Syntax
- Examples
- Example 1
- Related functions
RATE works out the interest rate from the loan amount, EMI and term — useful for checking “0% EMI” and flat-rate offers.
Syntax
=RATE(nper, pmt, pv, [fv], [type], [guess])
| Argument |
What it means |
nper |
Number of payments. |
pmt |
EMI (negative). |
pv |
Amount borrowed. |
Examples
Example 1
=RATE(12, -9000, 100000)*12
Real annual rate when ₹1 lakh is repaid as 12 EMIs of ₹9,000 — about 14.4%, not the 8% it may look like.
PMT · NPER · EFFECT
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