Finanzas · Glosario

What is APR (Annual Percentage Rate)?

Definición rápida

The yearly cost of a loan, expressed as a percentage, including most fees. Used when borrowing money.

Explicación completa

APR (Annual Percentage Rate) is the standardized way to express the yearly cost of borrowing money. It includes the interest rate plus most lender fees (origination, points, mortgage insurance), giving you a single number to compare loan offers from different lenders. Federal law requires lenders to disclose APR on consumer loans. APR does NOT include compounding — for that, look at APY. When shopping for a mortgage, auto loan, or credit card, the lowest APR is the cheapest loan. The inverse concept (what you EARN on savings) is APY.

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Last reviewed: June 15, 2026 • Category: Finanzas