Payday Loan Calculator
annual percentage rate of your loan calculated up to to the 2nd decimal
This online calculator will help you to calculate the APR of your payday loan online. What is APR? These letters stand for Annual Percentage Rate, a thing that allows you to know the cost of your loan and compare interests and fees from different payday loan lenders. With all other things being equal, you look for the loan service with the lowest APR. Speaking technically, it allows you to evaluate the cost of the loan or your interest rate in terms of a percentage. It is calculated with the help of the following formula:
APR = ((F/T)*365)/ (the term of the loan in days),
where F represents your loan fees and T is the total fee of the loan. For example, if you take a loan of $500 from a payday lender for a fortnight period and owe $100 in fees, your calculation would be:
((100/500)*365)/ (14) = 0.2*365/14 = 5.214 or 521.4 %.