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What is APR (Annual Percentage Rate)?

By Lyle DalyUpdated Jan 6, 2025 at 3:31 PM

Key Points

  • APR includes interest and other fees; it reveals the true yearly cost of a loan.
  • Credit card APRs adjust based on the U.S. prime rate and your credit score.
  • Paying the full credit card balance each month avoids any interest charges.

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