Annual Percentage Rate
/ˈænjuəl pərˈsɛntɪdʒ reɪt/
Definitions
- (n.) The yearly interest rate charged on a loan, including fees and costs, expressed as a percentage to reflect the total cost of credit annually.
The lender disclosed the annual percentage rate to comply with federal truth-in-lending requirements.
Forms
- annual percentage rate
- annual percentage rates
Related terms
See also
Commentary
APR must be clearly disclosed under consumer protection laws to provide borrowers with a standardized measure for comparing loan costs.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.