The document explains the concept of annual percentage rate (APR), which represents the interest charged by lenders on loans. It emphasizes the importance of considering APR when shopping for personal loans, as it can include various fees and impact the total cost over the loan's lifetime. Paul Mathieson, a financial professional, highlights the significance of finding loans with lower APRs to save money in the long term.

1. WHAT IS ANNUAL
PERCENTAGE RATE?
By Paul Mathieson

2. Introduction
 Based in Las Vegas, Nevada, Paul Mathieson has
built a successful career as a financial professional
throughout the last two decades. Since 2005, Paul
Mathieson has overseen personal loan operations at
IEG Holdings, which offers five-year, $5,000
unsecured loans with an average annual percent rate
(APR) of 29.9 percent or less.
When searching for a personal loan, it is important to
find the best deal. Choosing a loan that provides a low
APR is crucial to saving money in the long term.
Often, different companies will offer varying APRs with
their loans. You should know how an APR will affect
your loan before borrowing money.

3. Annual Percentage Rate
 APR (also known as the published or listed rate) is the
percentage of interest that a bank or other loan
provider charges each year when you borrow any
amount of money. This percentage can help you
accurately gauge how much you will pay throughout
the lifetime of a loan.
All financial institutions are required to show you a
loan’s APR. As such, it is important to look at the APR
when shopping around for loans, as the cost may
encompass both the interest rate and a number of
fees, such as closing and insurance costs. You should
always examine the APR’s included fees to properly
compare loans before choosing one.