A 2D rectangular plate model has been established to study the residual stress fields of cold expansion hole. Experiments were carried out to measure the residual stress of cold expansion hole and verify simulation results. The FEM results show, with interference values developing, the maximum values of circumferential residual compressive/tensile stress increase and higher positive stress values are obtained at the boundary of the rectangular plate. However, higher positive stresses at the boundary of plate are harmful to the capacity of fatigue resistance, the determinations of best interference value to a certain wide plate were proposed. Finally, the effect of the plate width on the residual stress distribution was analyzed.