When you apply for a car loan, a lender uses your credit report and credit score as main factors to determine the loan terms you receive. A bankruptcy on your credit report does significant damage. Anyone with a recent bankruptcy may have difficulty getting a loan. If you can get a loan,...
The averagepersonal loanAPR is 9.34%, according to theFed's most recent data. The average credit card APR is nearly double that at 16.43%. In some cases, it might be smarter to take out a personal loan rather than rack up a big balance on your credit card, but not always. And while...
What is the effective annual interest rate for a one-year 100 million loan with a stated interest rate of 8.00%, if the lending bank requires a non-interest bearing compensating balance in the amount of 5 million? A. 13.00%. B. 8.42%. C. 7.62%. D. 8.00%. 相关知识点: 试题来源: ...
For loans, the interest rate is applied to the principal, which is the amount of the loan. The interest rate is thecost of debtfor the borrower and the rate of return for the lender. The money to be repaid is usually more than the borrowed amount since lenders require compensation for t...
8% is the stated rate of interest. The effective annual interest rate on a loan with a compensating balance when no interest is received on the compensating balance is the annual interest due divided by the net funds the borrower will have available to use. That will be a different rate ...
What is the interest rate on a loan of $8,000 with a payment of $222.65 per month for 4 years? Loan Amount The loan amount refers to the borrowed amount from the third party. The third party can be banks, financial institutions, an individual or any entity...
While a loan’s interest rate and APR may look similar, there are some key differences you should understand before you finance a car. An interest rate is the percentage banks charge you for borrowing money. When you makemonthly paymentson a car loan, your payment will go toward b...
Answer (C) is correct . The bank requires a compensating balance of 5% ($5 million ÷ $100 million). The firm’s effective rate on this loan can be calculated as follows: Effective rate?= Stated rate ÷ (1.0 – compensating balance %) ?= 8% ÷ (100% – 5%) ?= 8% ÷ 95% ?
When you're trying toconsolidate debt,cover unexpected expenses, or borrow money for a large purchase, a personal loan may be your go-to option. And naturally, one of the most crucial factors to consider whentaking out a personal loanis the interest rate. Currently, the average personal loan...
If you're buying a car, you may need to finance your purchase with a car loan. Car loans vary in length depending on the needs of the borrower.