Help Wanted From Maths Experts... Please.

[Jeza]

If you invest £5100 for 3 and a half years and your return is £5821.70. What is the overall interest rate and what is the annual rate. I'm hopeless at this kind of thing. Also was it a good deal. Thankyou.

[sandyRoe]

The annual rate is a fraction over 4%.
14.15 % over the 3 and a half years

[lcg]

i think it's a good deal....but can't be bothered to work out the %'s. x

[Prudie]

Agree with Sandy and very good deal in current climate IMO

[jake-the-peg]

So given the UK inflation rate is around 2.5% that's about 1.5% in real terms.

That is your £5821.70 will buy you about 1.5% more than £5100 will buy you today

[Jeza]

Thank you all. I invested this money and got the return today. I'm glad I wasn't ill advised.

[Jeza]

No it wasn't annual it was an investment to run for 3 and a half years. Then to be paid out after the term.

[jake-the-peg]

And depending on your circumstances there may be the small matter of income tax.

Shame you just can't fill a great big tank with petrol - you'd have made over 20% over that period!

[Jeza]

No tax jake. It was an ISA investment.