Posts tagged ‘Annual Percentage Rate’

How to calculate new car loan rates

Calculating new car loan rates is most of the time difficult because there are many factors involved in it. Knowing the exact amount needed for the repayment of the vehicle is also difficult. You still need to understand how the Annual Percentage Rate (APR) and the Annual Percentage Yield (APY) affects the loan rates for a new vehicle despite the abundance of online car loan calculators. This article explains the APR and APY to help you get a better idea on how the new car loan rates are calculated.

Annual Percentage Rate (APR)

The Annual Percentage Rate is a popular concept used by lenders when you inquire about the interest rates of the loans they offer. This may sound common but only few car buyers know what this concept really means.

Useful steps to calculate interest of an Auto loan

You need to calculate the interest of an auto loan in order determine whether you pay more on the interest or not. This is important since even a cheap car could eventually cost more in case you failed to choose a loan with an affordable interest rate tied to it. In order to calculate the amount that would go to the loan

How to reduce your car loan’s APR

Reducing the APR on your new car loan can help you to save hundreds of dollars. In case you are interested in reducing the APR, there is a need to for you to search for the useful ways on how to accomplish this. Some of the useful procedures in reducing the Annual Percentage Rate of the loan are written below.

1. Maintain a good credit rating

One of the most effective ways to reduce your car loan