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What is APR?

Interest rate advertised by borrowers
Daily interest rate
Compounding interest rate
Interest rate advertised by lenders

1 Answer

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Answer:

APR is the Interest rate advertised by lenders.

Step-by-step explanation:

APR is the annual percentage rate that is different from the interest rate. Interest rate is the rate of borrowing money. While APR is the rate which includes interest rate, processing fee and other cost that are involved in loan approving.

This cost is decided by lender, which may be equal to interest rate or greater than interest rate.

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