In this mini-lesson, we talk briefly about the difference between the nominal rate (the rate you see advertised) and the effective rate, which shows what you actually earn once compounding is involved. We talk about how compounding can make the real rate higher than what’s printed on the account. It’s a quick, simple way to understand how the money is really working. 🎓 I’m Dr. B. I teach math in a clear, steady way that helps close the gap between how many adults learned math and how students learn it today. 🧠 Whether you’re reviewing a skill, supporting your child, or rebuilding confidence, you’ll find explanations that connect the steps to real understanding. ✨ My hope is that each video helps people feel confident in their own understanding, not just in what an AI tool or program can tell them. 💬 Drop any questions in the comments and share with someone who could use the help! Continue the Mathematics of Finance full lesson series 👉🏽 #NominalVsEffectiveRate #CompoundInterestExplained #TrueInterestRate #DrBTeachesMath #ClosingTheGap #LearningWithColors #MathConfidence #MathHelp