Understanding the way interest is calculated can help you make a more informed decision as to which product is suitable for you. This fact sheet explains how simple and compound interest are calculated and how which one you select can affect your savings plan or repayment schedule.
Making a decision on where to invest your money can be difficult. Talking to your financial adviser will help you work out which avenue of investment is best for your situation. Knowing some of the terminology before you talk to them, may help you better understand the advice they are providing you.