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What are the differences between the APR and the interest rate?

April 26, 2017Apr differences Interest rate

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What are the differences between the APR and the interest rate?

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10 Posted

APR – Actual Percentage Rate The APR will be outlined in your Truth-In-Lending Statement. The APR is usually a little higher than the actual interest rate. The APR is higher because it includes some of the additional costs of obtaining mortgage financing, also known as closing costs. This is a common practice in the mortgage industry.