APR Calculator

Find the true annual percentage rate (APR) of a loan after fees and compare it with the stated rate.

About the APR Calculator

Find the true annual percentage rate (APR) of a loan after fees and compare it with the stated rate. This tool is free, works in your browser and needs no sign-up.

How to use the APR Calculator

Enter the amount borrowed, the upfront fees, the stated interest rate and the loan term in months.

Formula used

The tool finds the rate r that solves Payment = (Amount − Fees) × r × (1 + r)^n ÷ ((1 + r)^n − 1), then multiplies by 12.

Example

With Amount borrowed 20000, Upfront fees and charges 600, Stated interest rate (% per year) 7, Loan term (months) 60, the calculator shows: Monthly payment = 396.02; True APR = 8.29%; Interest rate stated = 7.00%.

Frequently asked questions

What is the difference between APR and interest rate?

The interest rate is the cost of borrowing the money. The APR also includes fees, so it shows the full yearly cost and is better for comparing loans.

Is the APR Calculator free to use?

Yes. It is completely free and you can use it as many times as you like.

How accurate is the APR Calculator?

The calculator uses standard formulas, so the maths is exact. Real life results can differ because of fees, taxes, rounding or personal factors, so treat the answer as an estimate.

Do you store the numbers I enter?

No. All calculations run in your browser. The values you type are not sent to our server.

Disclaimer: results are estimates for information only. They are not financial, medical or professional advice.

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