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Why the Financial Police® calculator?

April 26, 2017Annual Percentage Rate Apr calculator financial mortgage loan

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Why the Financial Police® calculator?

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Lenders quote the Annual Percentage Rate, (within 3 days) to provide a more truthful insight of the interest rate you are paying. The APR %, as calculated under the Truth-and-Lending Act, combines the interest rate (stated rate or nominal rate) with other costs of the loan into a single figure. This number is supposed to reflect the true cost of borrowing and provide a standardized yardstick by which to compare financing from different sources. Keep in mind that APR % may be calculated slightly different at each lender. The Financial Police® follow the rules for this complex calculation.