The interest rate tells you part of the story; the APR tells you more. Annual percentage rate rolls the interest rate together with certain required fees into a single yearly cost, which makes it the better number for comparing one loan or card against another.

Two loans can share the same interest rate but have very different APRs if one charges an origination fee or points. That's why a low advertised rate isn't automatically the cheaper deal.

When you shop, line up offers by APR, confirm whether the rate is fixed or variable, and read which fees are included. Our loan calculator shows how rate and term shape your monthly payment.