Payday Loan Calculator
This calculator calculates the interest rate on a short-term loan. These loans are frequently referred to as Payday Loans or Cash Advance Loans. Since these loans are not regulated by the industry as traditional loans, they often carry high interest rates. This calculator calculates the annual interest rate (APR) and the monthly interest rate (MPR). For more information on these short-term loans, please read this payday loan article.
Payday Loan Calculator LegendMPR - Monthly interest rate:
This is the monthly interest rate accrued by the payday loan. It it the APR divided by twelve. Thus, if you must repay your $1000 payday loan back in 30 days and the total fee is $100, the MPR is 10%.
APR - Annual interest rate:
This measure is the most widely used measure when comparing loans. In the example above, you can see just how expensive these loans really are.
Payday Loan Amount:
This is amount of loan that you are requesting before any fees are applied to it.
Payday Loan Term in days:
The number of days before you have to pay back this loan.
Payday Loan Fee:
The amount you are being charged to obtain this short-term loan. This is the dollar amount of the cost associated with this loan and it is used in the computation of the interest rate (MPR and APR).