Sonja Koch has a $90,000 loan with a 9% annual interest rate. She paid $350 for a title background check, $400 for the title insurance, $250 for deeds and attorneys, and $8,690.40 in total interest for the first year. If the APR is the finance charge (interest plus fees) for one year : amount financed, what was the APR for that year?

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Cubby

27 December, 06:34

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Cloe Hooper · Answer 1

90000*0.09=8100

APR = (8100+350+400+250+8690.4) / 90000=17,790.4/90000=0.2*100=20%