03 August 2015
Fixed-assets
What is APR?
APR, or annual percentage rate, is an important term to know when borrowing, especially in case of home loans. The APR is generally the annual cost of a loan to a borrower, including fees. Like an interest rate, the APR is expressed as a percentage. Unlike an interest rate, however, it includes other charges or fees, to indicate the total cost of the loan. The APR is normally stated when you get into borrowing through a home loan or when a credit card is issued to you. Knowing the APR is important because it means you will know what you are actually paying for.