Daily Interest Calculator: What Your Balance Costs Per Day

Published October 16, 2026 · Updated October 18, 2026 · By the Best Canadian Credit Cards Editorial Team

How much interest does your balance cost each day? Enter the balance and the annual rate, and this daily interest calculator shows the cost per day, for any number of days, and for a full year. It works for credit cards, lines of credit and loans.

Daily interest calculatorSee what a balance costs you each day, each month and each year at your interest rate.

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%
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Interest per day

For 30 days

For a full year

The same balance at other rates

Interest ratePer dayPer 30 days

Paying in full avoids this. On a credit card, new purchases cost no interest if you pay the full statement balance by the due date. Carry a balance, and interest is charged every day until it’s paid off.

How daily interest is calculated

Credit cards and lines of credit quote an annual rate, but they work out interest by the day. The daily rate is the annual rate divided by 365 (366 in a leap year).

StepExample
1. Divide the annual rate by 36520.99% ÷ 365 = 0.0575% a day
2. Multiply by your balance$2,500 × 0.0575% = about $1.44 a day
3. Multiply by the number of days$1.44 × 30 days = about $43

Credit card issuers then add up the interest for the statement period and charge it once a month. Scotiabank’s revolving credit agreement, for example, uses your average daily balance, multiplied by the annual rate divided by 365 or 366, for each day in the statement period.

This calculator uses simple daily interest on a balance that doesn’t change. Your statement will differ a little if you make purchases or payments during the month.

When you pay interest on a credit card

  • Purchases, paid in full: no interest. Federally regulated issuers must give you a grace period of at least 21 days to pay your statement balance.
  • Purchases, balance carried: if you don’t pay the full balance by the due date, you pay interest from the date of each purchase until the balance is paid.
  • Cash advances and balance transfers: no grace period. Interest starts the day of the transaction, and cash advance rates are usually higher than purchase rates.

To see how long a balance takes to clear, try our credit card payoff calculator.

Frequently asked questions

How do I calculate daily interest on a credit card?

Divide the annual rate by 365 to get the daily rate, then multiply by your balance. At 20.99%, a $2,500 balance costs about $1.44 a day.

Is credit card interest charged daily or monthly?

Both, in a sense. It’s worked out using your daily balances, then added to your account once a month on your statement.

Why is my interest charge different from the calculator?

Your balance changes as you make purchases and payments, and statement periods vary in length. Different parts of your balance can also have different rates, like purchases and cash advances.

Does a cash advance cost more?

Usually. There’s no interest-free period, the rate is often higher than for purchases, and many cards also charge a cash advance fee.

Can I use this for a line of credit or a loan?

Yes. Enter the balance and annual rate. It works for any debt where interest is based on the daily balance.

How we checked: Daily interest here is the balance × (annual rate ÷ 365). The method matches how Scotiabank’s revolving credit agreement describes it. Grace period and cash advance rules come from the Financial Consumer Agency of Canada. The rates in the comparison table are examples, not offers. Sources: FCAC: How credit cards work; FCAC: Sample credit card agreement box; Scotiabank revolving credit agreement notice (PDF). Last checked October 2026.