How It Works
Net proceeds=contract principal−upfront charges. Solve the monthly discount rate matching net proceeds to scheduled payments; estimated APR=12×monthly rate.
Equal monthly periods, no irregular dates or balloon payment. This is a simplified cash-flow APR estimate, not a full Regulation Z disclosure calculation.
Reference Sources
FAQs
How does this calculator work?
Net proceeds=contract principal−upfront charges. Solve the monthly discount rate matching net proceeds to scheduled payments; estimated APR=12×monthly rate.
What assumptions should I check?
Equal monthly periods, no irregular dates or balloon payment. This is a simplified cash-flow APR estimate, not a full Regulation Z disclosure calculation.