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Suppose you invest $100 at a compound interest rate of 10%. The rule of 72 tells you that your money will double every seven years, approximately: If you graph these points, you start to see the familiar compound interest curve:
BREAKING DOWN 'Rule Of 72'. For example, if you want to know how long it will take to double your money at 12% interest, divide 12 into 72 and you get six years.EFINITION of 'Rule Of 72'. A rule stating that in order to find the number of years required to double your money at a given interest rate, you divide the compound return into 72.