Basis Points Calculator
Basis points calculator converts bps to percent and decimal, finds the change between two rates, dollar value and the effect on a loan payment.
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How the Basis Points Calculator Formula Works
A basis point is one hundredth of a percentage point. So 1 basis point is 0.01%, or 0.0001 as a decimal, and 100 basis points make exactly 1%. People use basis points when talking about interest rates, bond yields and fund fees because they avoid mixing up a change in the rate with a percentage of the rate.
To convert, multiply a percentage by 100 to get basis points and divide basis points by 100 to get a percentage. To find the change between two rates, subtract and multiply by 100: from 1.50% to 1.25% is minus 25 basis points. To find what basis points are worth in dollars, multiply the amount by the basis points and divide by 10,000, so 50 basis points of $250,000 is $1,250.
The loan mode shows what a rate move does to a fixed-rate loan. It uses the standard payment formula, where the monthly rate is the annual rate over 12, and compares the payment at the base rate and at the shifted rate. It is arithmetic only and not a recommendation.
percent = bps / 100; bps = percent × 100; decimal = bps / 10,000; dollars = amount × bps / 10,000; change (bps) = (new rate − old rate) × 100- bpsbasis pointsOne hundredth of a percentage point.
- rate%An annual interest rate, yield or fee.
- amount$250000The sum the basis points apply to.
- termyearsThe length of a fixed-rate loan, for loan mode.
- bps
- basis points
- One hundredth of a percentage point.
- rate
- %
- An annual interest rate, yield or fee.
- amount
- $
- The sum the basis points apply to.
- term
- years
- The length of a fixed-rate loan, for loan mode.
Using the Basis Points Calculator
Enter calculate
Choose from Convert basis points, percent and decimal, Change between two rates, Dollar value of basis points, Effect on a fixed-rate loan.
Enter value to convert
Type the figure you already have, then press Calculate.
Enter value is in
Choose from Basis points, Percent, Decimal.
Enter starting rate (%)
Type the figure you already have, then press Calculate.
Enter new rate (%)
Type the figure you already have, then press Calculate.
Enter amount ($)
Type the figure you already have, then press Calculate.
Enter basis points
Type the figure you already have, then press Calculate.
Enter loan amount ($)
Type the figure you already have, then press Calculate.
Enter current interest rate (%)
Type the figure you already have, then press Calculate.
Enter term (years)
Type the figure you already have, then press Calculate.
Enter rate change (basis points, negative for a cut)
Type the figure you already have, then press Calculate.
Read the result
Press Calculate to update the result. Until you do, the last result is dimmed and marked as out of date, so you always know which numbers belong to the values in the boxes.
A Real Worked Example
Convert 25 basis points. Divide by 100 to get a percentage: 25 / 100 = 0.25%. Divide by 10,000 for the decimal: 0.0025.
That is 2.5 per mille. A rate of 4.00% plus 25 basis points is 4.25%.
1.75% in basis points
Choose percent as the unit and enter 1.75. Multiply by 100 to get 175 basis points, which is 0.0175 as a decimal.
Going the other way, 175 basis points divided by 100 is 1.75%.
The change from 1.50% to 1.25%
Choose change and enter a starting rate of 1.50% and a new rate of 1.25%. The difference is -0.25 percentage points, which is -25 basis points.
The rate fell by 16.67 percent of its starting value, a relative change that is a different thing from the 25 basis points.
50 basis points of $250,000
Choose dollars, enter $250,000 and 50 basis points. The value is 250,000 × 50 / 10,000 = $1,250.
That is 0.5% of the amount, and if it is an annual figure, about $104.17 a month.
A loan: +50 bps on $300,000 at 6.5% for 30 years
The monthly payment at 6.50% over 360 months is $1,896.20. Adding 50 basis points makes the rate 7.00% and the payment $1,995.91.
The difference is $99.70 a month, which comes to about $35,893 more interest over the 30 years.
A loan: -25 bps on the same loan
Cutting the rate by 25 basis points takes it from 6.50% to 6.25%. The payment falls from $1,896.20 to $1,847.15.
That is $49.05 a month less, and about $17,659 less interest over the 30 years.
From 4.09% to 4.18%
A rate that moves from 4.09% to 4.18% changes by 0.09 percentage points, which is 9 basis points.
Relative to the starting rate that is a 2.2 percent change. Mortgage rate quotes often move in steps of a few basis points.
What Else to Know
What a Basis Point Is
A basis point is one hundredth of a percentage point. Wikipedia gives it as 1 bp = 0.01% = 0.0001 = 1/10,000, so 10 basis points are 0.1% and 100 basis points are 1%.
The unit is mostly used for interest rates, bond yields and fund fees. Wikipedia notes that changes of interest rates are often stated in basis points, and fund costs often are as well.
The calculator converts between basis points, percent and decimal, finds the change between two rates, values basis points in dollars and shows the effect on a loan payment.
Why Basis Points Are Used
Saying a rate rose by 1% is ambiguous. It could mean it went from 4% to 5%, a rise of 1 percentage point, or from 4% to 4.04%, a rise of 1% of the rate. A rise of 100 basis points is only the first.
Wall Street Prep notes that using basis points reduces the chance of misinterpretation, which matters when small changes in rates have large effects. Basis points describe the absolute change.
The calculator shows the relative change separately in change mode, so you can see both. A fall from 1.50% to 1.25% is 25 basis points but a 16.7 percent drop in the rate.
Converting and Valuing Basis Points
To convert, multiply a percentage by 100 for basis points and divide basis points by 100 for a percentage. The decimal is the basis points divided by 10,000. The conversion table lists common values.
The dollar value is the amount times the basis points divided by 10,000. 50 basis points of $250,000 is $1,250, and 1 basis point on $1,000,000 is $100. Omni Calculator uses the same method.
The value is for one year when the basis points are an annual rate or fee, so divide by 12 for a rough monthly figure.
It helps to keep a few anchors in mind. 1 basis point is 0.01%, 10 are 0.1%, 25 are a quarter of a point, 50 are half a point and 100 are one full point. Rate decisions and mortgage quotes often move in steps of 25 basis points, which is why that figure appears so often. Because the unit is so small, a table of common conversions is the quickest way to check a number you read in the news or on a rate sheet.
Basis Points and Loan Payments
For a fixed-rate loan, the monthly payment is c = rP / (1 − (1 + r)−N), where r is the annual rate over 12, P is the amount borrowed and N the number of monthly payments. Wikipedia's worked example is $1,264.14 for $200,000 at 6.5% over 30 years.
The loan mode applies it twice, at the current rate and at the rate shifted by your basis points, and shows the difference in the monthly payment and in total interest. On $300,000 over 30 years at 6.5%, 50 basis points more adds $99.70 a month.
The loan table shows other shifts. It is an illustration of arithmetic, not a view on what rates will do.
Note that the shift is applied to the annual rate and the payment is recalculated over the same term. Raising the rate by 100 basis points on the example loan adds about $201 a month, while cutting it by 100 basis points saves about $193, so the effect is slightly bigger for a rise than for a cut of the same size. Fees, points and taxes are not included.
Fund Fees in Basis Points
Wikipedia notes that investment fund expenses are often quoted in basis points. A fee of 50 basis points is 0.5% a year, which on $100,000 is $500. The fee table lists common fees against several balances.
Small differences in fees add up over time, but the calculator only does the one-year arithmetic. It does not project growth or compare funds.
For the effect of compounding on savings, see the compound interest calculator.
Common Mistakes
The biggest is treating 1 basis point as 1 percent, which is off by a factor of 100. Another is mixing basis points with a relative change: a rate of 4% rising by 25 basis points becomes 4.25%, not 5%.
Watch the sign, since rate cuts are negative, and remember basis points normally apply to annual rates. The mistakes table lists these.
If you use loan mode, check the term and the rate type against your lender's documents.
Limits and Disclaimer
This calculator converts units and applies a standard payment formula. It does not predict rates, recommend a loan, fund or refinancing, or account for fees, points, taxes, insurance or compounding differences. Loan payments assume a fixed rate with monthly payments.
For decisions about your money, speak to a qualified adviser and use your lender's own figures. Rates and terms change, so the examples are illustrations, not quotes.
Reference Tables
| Term | Meaning |
|---|---|
| Basis point (bp, bps) | One hundredth of a percentage point: 0.01% or 0.0001 |
| Percentage point | A change of 1 in a percent figure, equal to 100 basis points |
| Relative change | The change as a share of the starting rate, a different thing from basis points |
| Yield | The return on a bond or other investment, often quoted in basis points of change |
| Expense ratio | A fund's annual cost, often quoted in basis points |
| Permyriad | Another name for one part in ten thousand, symbol ‱ |
| Basis points | Percent | Decimal | Per mille |
|---|---|---|---|
| 0.1 | 0.001% | 0 | 0.01 |
| 1 | 0.01% | 0.0001 | 0.1 |
| 5 | 0.05% | 0.0005 | 0.5 |
| 10 | 0.1% | 0.001 | 1 |
| 25 | 0.25% | 0.0025 | 2.5 |
| 50 | 0.5% | 0.005 | 5 |
| 75 | 0.75% | 0.0075 | 7.5 |
| 100 | 1% | 0.01 | 10 |
| 150 | 1.5% | 0.015 | 15 |
| 200 | 2% | 0.02 | 20 |
| 250 | 2.5% | 0.025 | 25 |
| 500 | 5% | 0.05 | 50 |
| 1000 | 10% | 0.1 | 100 |
| 10000 | 100% | 1 | 1000 |
| Move | Change in basis points | Percentage points |
|---|---|---|
| 1.50% to 1.25% | -25 | -0.25 |
| 4.00% to 4.25% | +25 | +0.25 |
| 5.25% to 5.75% | +50 | +0.50 |
| 6.50% to 6.00% | -50 | -0.50 |
| 3.00% to 4.00% | +100 | +1.00 |
| 0.10% to 0.35% | +25 | +0.25 |
| 7.00% to 5.50% | -150 | -1.50 |
| Amount | 1 bp | 10 bps | 25 bps | 50 bps | 100 bps |
|---|---|---|---|---|---|
| $10,000 | $1.00 | $10.00 | $25.00 | $50.00 | $100.00 |
| $50,000 | $5.00 | $50.00 | $125.00 | $250.00 | $500.00 |
| $100,000 | $10.00 | $100.00 | $250.00 | $500.00 | $1,000.00 |
| $250,000 | $25.00 | $250.00 | $625.00 | $1,250.00 | $2,500.00 |
| $500,000 | $50.00 | $500.00 | $1,250.00 | $2,500.00 | $5,000.00 |
| $1,000,000 | $100.00 | $1,000.00 | $2,500.00 | $5,000.00 | $10,000.00 |
| $10,000,000 | $1,000.00 | $10,000.00 | $25,000.00 | $50,000.00 | $100,000.00 |
| Change | New rate | Payment | Change per month | Interest over 30 years |
|---|---|---|---|---|
| -100 bps | 5.50% | $1,703.37 | $-192.84 | $313,212.12 |
| -50 bps | 6.00% | $1,798.65 | $-97.55 | $347,514.57 |
| -25 bps | 6.25% | $1,847.15 | $-49.05 | $364,974.58 |
| +0 bps | 6.50% | $1,896.20 | $0.00 | $382,633.47 |
| +25 bps | 6.75% | $1,945.79 | $49.59 | $400,485.94 |
| +50 bps | 7.00% | $1,995.91 | $99.70 | $418,526.69 |
| +100 bps | 7.50% | $2,097.64 | $201.44 | $455,151.67 |
| Fee | On $10,000 | On $100,000 | On $500,000 | On $1,000,000 |
|---|---|---|---|---|
| 5 bps (0.05%) | $5.00 | $50.00 | $250.00 | $500.00 |
| 10 bps (0.1%) | $10.00 | $100.00 | $500.00 | $1,000.00 |
| 25 bps (0.25%) | $25.00 | $250.00 | $1,250.00 | $2,500.00 |
| 50 bps (0.5%) | $50.00 | $500.00 | $2,500.00 | $5,000.00 |
| 75 bps (0.75%) | $75.00 | $750.00 | $3,750.00 | $7,500.00 |
| 100 bps (1%) | $100.00 | $1,000.00 | $5,000.00 | $10,000.00 |
| Mistake | Effect | Fix |
|---|---|---|
| Treating 1 bp as 1% | Off by a factor of 100 | 1 bp is 0.01% |
| Mixing basis points with a relative change | A rate of 4% rising 25 bps is not a 25% rise | Basis points are absolute |
| Forgetting the sign | Direction reversed | Rate cuts are negative |
| Using bps on a monthly rate | Wrong scale | Basis points normally apply to annual rates |
| Ignoring the loan term | Underestimates total interest | Use the loan mode |
Frequently Asked Questions About the Basis Points Calculator
How do I calculate basis points?
Multiply a percentage by 100 to get basis points, and divide basis points by 100 to get a percentage. So 0.25% is 25 bps, and 150 bps is 1.5%. Wall Street Prep gives the same two formulas, and one basis point is 0.01%. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How much is 1 basis point?
One basis point is one hundredth of a percentage point: 0.01%, 0.0001 as a decimal, or 1/10,000. An interest rate of 10% rising by 1 basis point becomes 10.01%. On $1,000,000 one basis point is $100. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How much is 25 basis points?
25 basis points is 0.25%, or 0.0025 as a decimal. A rate of 4.00% rising by 25 bps becomes 4.25%. On $100,000 it is $250.00, and on a $300,000 30-year loan at 6.5% it changes the monthly payment by about $49.59. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How much is 50 basis points?
50 basis points is 0.5%, or 0.005 as a decimal. A rate of 5.25% plus 50 bps is 5.75%. On $250,000 it is $1,250.00, and on a $300,000 30-year loan at 6.5% it changes the monthly payment by about $99.70. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
Is 100 basis points the same as 1%?
Yes. 100 basis points is exactly one percentage point, 1%, because one basis point is 0.01%. A rate of 3% rising by 100 bps becomes 4%. Wikipedia puts it this way: 100 bp equals 1%, and 10 bp equals 0.1%. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How much is 1,000 basis points worth?
1,000 basis points is 10%, or 0.10 as a decimal. On $100,000 it is $10,000. The size of the dollar figure depends on what the basis points are applied to, so enter the amount in the calculator's dollar mode. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How do I convert a percentage to basis points?
Multiply by 100. 1.75% is 175 bps and 0.05% is 5 bps. In the calculator, choose convert, set the unit to percent, enter the value, and it shows basis points, the percentage and the decimal together. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How do I convert basis points to a decimal?
Divide by 10,000. So 25 bps is 0.0025 and 1 bp is 0.0001. To get a percentage, divide by 100 instead, so 25 bps is 0.25%. The conversion table lists common values in all three forms. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How do I calculate the change in basis points between two rates?
Subtract the starting rate from the new rate and multiply by 100. From 1.50% to 1.25% is (1.25 − 1.50) × 100 = -25 bps. From 4.09% to 4.18% is +9 bps. Use change mode and enter both rates. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How do I calculate the dollar value of basis points?
Multiply the amount by the basis points and divide by 10,000. 50 bps of $250,000 is 250,000 × 50 / 10,000 = $1,250.00. Omni Calculator gives 1.5 bps of $65,000 as $9.75, the same method. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
Why use basis points instead of percent?
Basis points avoid confusion between absolute and relative changes. Saying a rate rose 1% could mean 1 percentage point or 1% of the rate. Saying it rose 100 bps is unambiguous. Wall Street Prep notes bps reduce the chance of misinterpretation. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
What is the difference between a percentage point and a percent change?
A percentage point is an absolute change in a rate, equal to 100 basis points. A percent change is relative to the starting value. A rate going from 4% to 5% rose 1 percentage point, 100 bps, but the rate itself rose 25 percent. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How much do 50 basis points affect a mortgage payment?
On a $300,000 30-year fixed loan, moving from 6.50% to 7.00% raises the payment from $1,896.20 to $1,995.91, about $99.70 a month, using the standard payment formula. Use the loan mode for your own numbers. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How much do 25 basis points affect a mortgage payment?
On a $300,000 30-year loan at 6.50%, a cut of 25 bps lowers the payment from $1,896.20 to $1,847.15, about $49.05 a month, and total interest by about $17,658.89 over 30 years. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
What is the mortgage payment formula?
The fixed monthly payment is c = rP / (1 − (1 + r)−N), where r is the annual rate divided by 12, P is the amount borrowed and N is the number of monthly payments. Wikipedia's example is $1,264.14 on $200,000 at 6.5% for 30 years. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How are fund fees quoted in basis points?
Wikipedia notes fund costs are often quoted in basis points, such as an expense ratio of 50 bps, meaning 0.5% a year. On $100,000 that is $500.00 a year. Compare funds on the same basis and check the fund's own documents. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
What is a negative basis point change?
A negative change means the rate fell. Cutting a rate from 1.50% to 1.25% is -25 bps. The calculator shows the sign, and in loan mode a negative shift lowers the payment. Rates cannot go below zero in the loan mode here. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
Does the calculator give financial advice?
No. It converts units and does standard arithmetic, including a fixed-rate payment formula. It does not say whether to refinance, which loan or fund to choose, or how rates will move. Speak to a qualified adviser for decisions about your finances. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
Is 1 point worth refinancing?
The calculator cannot say. It shows how much the payment changes for a rate move, which is one input to a refinancing decision. Closing costs, the time you keep the loan and your other options matter too, so get quotes and advice. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
How do I use this basis points calculator?
Choose convert, change, dollars or loan. For convert, enter a value and its unit. For change, enter two rates. For dollars, enter an amount and basis points. For loan, enter the loan, rate, term and the basis points shift. Enter your own figures in the calculator for an exact answer, and remember that rates and fees from your lender or provider are the numbers that count.
References
- [1] Wikipedia contributors. “Basis point.” Wikipedia. Accessed 2026-10-06.
- [2] Wall Street Prep. “Basis points (bps).” Wall Street Prep. Accessed 2026-10-06.
- [3] Omni Calculator. “Basis point calculator.” Omni Calculator. Accessed 2026-10-06.
- [4] Wikipedia contributors. “Mortgage calculator.” Wikipedia. Accessed 2026-10-06.
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