Online APR Calculator
Find the real APR of a loan or mortgage, including fees and points, with payment details and an amortization schedule. Free and instant.
Result
| Real APR ($) | |
|---|---|
| Amount Financed ($) | |
| Upfront Out-of-Pocket Fees ($) | |
| Payment Every Month ($) | |
| Total Payments ($) () | |
| Total Interest ($) | |
| All Payments and Fees ($) |
| Real APR ($) | |
|---|---|
| Loan Amount ($) | |
| Down Payment ($) | |
| Monthly Pay ($) | |
| Total Payments ($) () | |
| Total Interest ($) | |
| PMI Insurance (0 months) ($) | |
| Total PMI Insurance Payments ($) | |
| All Payments and Fees ($) |
| months | BEGINNING BALANCE ($) | INTEREST ($) | PRINCIPAL ($) | ENDING BALANCE ($) |
|---|
What Is This Tool?
The APR Calculator works out the real annual percentage rate of a loan, which reflects the true cost once fees are included rather than just the quoted interest rate. The General APR mode handles any loan, with options for how interest compounds and how often you pay back, plus loaned and upfront fees. The Mortgage APR mode adds points and PMI to find the real rate on a home loan. Both modes show the payment, totals, and a chart, and the general mode includes an amortization schedule. The results are estimates to help you compare and are not financial advice. You can download the result as a PDF.
How to Use This Tool?
- Choose the General APR or Mortgage APR mode.
- Enter the loan details, including any fees, points, or PMI.
- Set the compounding and pay-back frequency in the general mode if needed.
- Click Calculate to see the real APR, then download a PDF if you wish.
Key Features
- Offers a general APR mode and a mortgage APR mode.
- Finds the real APR including fees, not just the quoted rate.
- Lets you set compounding and pay-back frequencies in the general mode.
- Handles loan points and PMI in the mortgage mode.
- Shows a fee breakdown chart, an amortization schedule, and a PDF download.
Examples
- A 100,000 loan at 5% over 10 years with 1,000 in upfront fees has a real APR of about 5.219%.
- Its payment is about 1,060.66, and the all-in cost is 128,278.62.
- A 350,000 home with 20% down at 5.5% over 10 years gives a 280,000 loan.
- With fees and points, that mortgage's real APR is about 5.848%.
Common Use Cases
- Comparing loan offers on an equal footing.
- Seeing the true cost of a loan once fees are added.
- Comparing mortgage deals with different points and fees.
- Understanding how upfront fees raise the effective rate.
- Budgeting for the full cost of borrowing.
Tips & Best Practices
- Use the real APR, not the quoted rate, to compare loans fairly.
- Include all known fees so the APR reflects the true cost.
- Match the compounding and pay-back frequency to your loan terms.
- Remember a down payment of at least 20% usually avoids PMI.
- Treat the result as an estimate, since lenders may calculate APR slightly differently.
Limitations
- Results are estimates for comparison and are not financial advice.
- APR conventions vary, so a lender's stated APR may differ slightly.
- It assumes a fixed interest rate for the whole loan.
- The PMI rule is simplified to drop at a 20% down payment.
Frequently Asked Questions
- How does APR differ from the interest rate?
- The interest rate is the cost of borrowing the money, while the APR also includes fees, giving a fuller picture of the true cost.
- Why is the APR usually higher than the interest rate?
- Because fees and points are spread across the loan and added to the rate, the APR comes out higher than the quoted interest rate.
- What is the difference between the two modes?
- The general mode handles any loan with flexible frequencies and fees, while the mortgage mode adds points and PMI for home loans.
- Can I save my result?
- Yes. Click Download Result as PDF to save the APR, payment details, and schedule as a file.
Key Terminology
- APR
- The annual percentage rate, the cost of a loan including fees, shown as a yearly rate.
- Interest rate
- The cost of borrowing the money, before fees are added.
- Points
- Upfront fees paid to a lender, often as a percentage of the loan.
- PMI
- Private mortgage insurance, often required when the down payment is under 20%.
- Amortization
- Paying off a loan over time through regular payments of principal and interest.