APR Calculator
Estimate an annualized borrowing rate that includes an upfront fee.
Simplified estimate: fees are deducted upfront; other fee treatment varies by lender and local APR rules.
Payment path at the note rate
The fee-adjusted APR is shown above; this schedule uses the contractual note rate to calculate each payment.
Borrowing cost share
Monthly repayment schedule
Scheduled payment split; fees are not amortized in this table.
| Month | Payment | Principal | Interest | Balance |
|---|
Detailed Breakdown
Inputs
Enter the principal, contractual annual note rate, term, and fees withheld before funds are received. The scheduled payment is calculated from principal, rate, and term.
APR estimate
The calculator solves for a monthly rate whose payment stream has the same present value as principal minus upfront fees, then annualizes that rate. Fees generally make this estimate higher than the note rate.
Reading results
Monthly payment uses the note rate. Net proceeds show principal less entered upfront fees. Estimated APR includes that fee effect over the full term.
Limits
This simplified estimate does not decide which fees legally belong in APR for your location or loan type. Variable rates, fee timing, and early payoff can change the effective cost; it is not a regulatory disclosure.
Examples
Suppose a 100,000 loan has a 6% note rate, a 10-year term, and 2,500 in fees withheld at closing. The scheduled payment uses the full principal and note rate, while net proceeds are 97,500; the fee-inclusive APR is therefore higher than the note rate.
FAQ
Why can APR be higher than the note rate?
The note rate determines scheduled interest. APR is an annualized cost estimate that may include eligible fees; this page includes only the upfront fee entered here.
Does this follow every country's APR rules?
No. Legal fee treatment and disclosure methods vary by location and loan type. Compare official lender disclosures.
Does early repayment change the effective cost?
Yes. Paying off early spreads upfront fees over a shorter period. This estimate assumes the loan runs for the full entered term.
Related Calculators
- Loan Calculator — review the payment and amortization schedule.
- Interest Rate Calculator — estimate a rate from known loan details.
- Payment Calculator — solve for a fixed-term payment.
Internal links: compare fee-inclusive borrowing cost with the Loan Calculator and Interest Rate Calculator.