What’s a Safe APR? A Visual Guide
APR (Annual Percentage Rate) can be confusing. Let's break it down with visual comparisons and simple math.
What Is APR?
APR is the total yearly cost of borrowing, including fees. It's what you really pay — not just the interest.
Example: Borrowing $500 for 30 Days
- APR 24% → $10 total cost
- APR 99% → $41 total cost
- APR 300% → $123 total cost
- APR 600% → $246 total cost
Visual Rule of Thumb
APR over 100% = expensive. APR under 36% = safer zone. Use tools like our Loan Cost Comparator to calculate real repayment totals.
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