If you deposit money into your account that pays 6.5% interest, how long will it take for you to double your money?
The short-cut method is to use the Rule of 72. That is 72/rate = time needed for investment to double. So, 72/6.5 = 11.08 years
Or you could do in more precisely by compounding an investment by 6.5% until it doubles.
To determine how long it will take for your money to double with a 6.5% interest rate, you can use the Rule of 72. The Rule of 72 is a simple formula that estimates the time it takes for an investment to double, given a fixed interest rate.
The formula for the Rule of 72 is as follows:
Time to double = 72 / interest rate
In this case, the interest rate is 6.5%. Substituting the interest rate into the formula:
Time to double = 72 / 6.5
Calculating this equation, it would take approximately 11.08 years for your money to double at a 6.5% interest rate.
Please note that the Rule of 72 is an estimation, and actual results may vary depending on compounding frequencies, fees, and other factors specific to your account.