What is Accrued Interest?
Accrued Interest — Interest a bond has earned since the last coupon but not yet paid — the buyer compensates the seller for it at settlement.
In simple terms
Buy a bond mid-period and you pay the accrued interest on top.
Why Accrued Interest matters when you invest
Understanding accrued interest helps you make better-informed decisions when you invest and trade on ROAR by DP TradeKING. Open a free account to put it into practice — ₹0 delivery brokerage and zero-commission direct mutual funds.
Accrued Interest — frequently asked questions
What is Accrued Interest?
Interest a bond has earned since the last coupon but not yet paid — the buyer compensates the seller for it at settlement.
What does Accrued Interest mean in the stock market?
Interest a bond has earned since the last coupon but not yet paid — the buyer compensates the seller for it at settlement. Buy a bond mid-period and you pay the accrued interest on top.
Can you give an example of Accrued Interest?
Buy a bond mid-period and you pay the accrued interest on top.
Put it into practice — open a free account.
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