What is APR and how does it affect the cost of my loan?

APR (Annual Percentage Rate) is the yearly cost of borrowing, including interest and any lender fees. A lower APR generally means lower monthly payments and less paid over the life of the loan. Your APR is influenced by factors like your credit score, loan term, and the lender’s policies.

Subprime borrowers often receive higher APRs. Comparing offers from multiple lenders can help you find the most competitive rate.