Basic APR (Annual Percentage Rate) Calculator
Use this calculator to find the true cost of your loan. Enter your loan amount, nominal interest rate, term, and any additional fees (like origination or closing costs) to calculate your APR and understand how these charges impact your overall borrowing cost. Knowing your APR helps you compare different loan offers accurately.
APR Calculation Results
Please enter loan details and click "Calculate APR".
Loan Cost Insights
| Enter loan details to see insights. |
Understanding Your APR vs. Interest Rate
Your Annual Percentage Rate (APR) is typically higher than your nominal (or stated) interest rate because the APR includes not just the interest but also other costs associated with the loan, such as origination fees, closing costs, and other charges. This makes the APR a more comprehensive measure of the true cost of borrowing money, allowing for a more accurate comparison between different loan offers. This calculator helps you see this "real" annual cost.