APR Calculator
True yearly cost of a loan including fees.
Enter your values
Enter the loan amount in $.
Enter the nominal interest rate in %.
Enter the term in years.
Enter the fees and closing costs in $.
Results update instantly as you type — no submit needed. Your values are remembered on this device, and the shareable link reopens the calculator with exactly these numbers.
- APR
- 8.53%
- Monthly payment
- $500.95
- Total paid
- $30,056.92
- Total interest
- $5,056.92
- Fees financed
- $600.00
Working
- 1Payment on $25,000.00 at 7.5% = $500.95
- 2Solve for the rate that gives that payment on $24,400.00 → 8.53%
Quick answer
APR folds fees into the interest rate, so it shows the real yearly cost of borrowing rather than the headline rate.
APR = rate that makes payments equal (loan − fees)
At a glance
| What it does | True yearly cost of a loan including fees. |
|---|---|
| Category | Finance |
| Inputs needed | Loan amount, Nominal interest rate, Term, Fees and closing costs |
| Main output | APR |
| Formula | APR = rate that makes payments equal (loan − fees) |
| Cost | Free — no sign-up, no download |
How to use the APR Calculator
- 1Enter the loan amount and quoted interest rate.
- 2Add the term in years.
- 3Enter all fees rolled into the loan.
Inputs explained
- Loan amount($)
- Enter the loan amount in $.
- Nominal interest rate(%)
- Enter the nominal interest rate in %.
- Term(years)
- Enter the term in years.
- Fees and closing costs($)
- Enter the fees and closing costs in $.
Worked example
Using the values the calculator loads with:
Inputs
- Loan amount25000 $
- Nominal interest rate7.5 %
- Term5 years
- Fees and closing costs600 $
Results
- APR8.53%
- Monthly payment$500.95
- Total paid$30,056.92
- Total interest$5,056.92
- Fees financed$600.00
- Payment on $25,000.00 at 7.5% = $500.95
- Solve for the rate that gives that payment on $24,400.00 → 8.53%
Frequently asked questions
Why is APR higher than the interest rate?
Because APR spreads origination and closing fees across the loan term, raising the effective cost.
Is APR the best way to compare loans?
Yes for loans you keep to term; if you refinance early, upfront fees hurt more than APR suggests.
What do I need to enter into the APR Calculator?
Just 4 values: loan amount, nominal interest rate, term, fees and closing costs. Every field starts with a realistic example, so you can change one number at a time and watch the result update instantly.
How does the APR Calculator work out the answer?
APR folds fees into the interest rate, so it shows the real yearly cost of borrowing rather than the headline rate. It applies the formula APR = rate that makes payments equal (loan − fees) and shows the working so you can check each step by hand.
Is the APR Calculator free, and do I need an account?
It is completely free with no sign-up, no download and no usage limit. Everything is calculated in your browser, so the numbers you type never leave your device.
Results are estimates for general information. For medical, legal, structural or financial decisions, confirm with a qualified professional.