# The Banking Act 1987 (Exempt Transactions) Regulations 1997, Paragraph 3: USE OF FORMULA


The compounded annual rate is given by the following formula—
r[(1+m×100)-1]×m100 where
r is the nominal annual rate and m is the number of times interest is paid in a year.

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Source: https://www.legislation.gov.uk/uksi/1997/817/schedule/4/part/B/paragraph/3 (the official version)
Page: https://openlegislation.uk/banking-act-1987-exempt-transactions-regulations-1997/schedule-4/part-B/paragraph-3
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.