Definition · Glossary
APR (Annual Percentage Rate)
In plain English
The Annual Percentage Rate shows the total cost of credit per year, including fees and interest, expressed as a percentage. Used to compare loans and credit cards. By law, lenders must quote APR on all consumer credit products.
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Example
A personal loan with a 9.9% APR means the total annual cost of that credit — including any fees — is 9.9% of the amount borrowed.