Understanding APR

first_img 155SHARESShareShareSharePrintMailGooglePinterestDiggRedditStumbleuponDeliciousBufferTumblr,Derek San Filippo Derek is a freelance writer who spends his off time either working with his rescue animals or writing children’s books. He lives in San Diego with his beautiful wife … Web: www.financialfeed.com Details According to the Financial Industry Regulatory Authority, 65% of Americans lack financial literacy. With this in mind, let’s look at a common financial phrase that you’ve heard if you’ve ever borrowed money before, be it credit cards or student loans.The APR (Annual Percentage Rate) refers to the actual cost of borrowing money, which includes the interest rate,closing costs,broker fees, etc. The important point here is that the actual interest rate can be, in many cases, be only one component of the APR calculation. APR was adopted as a standard so that consumers shopping for loans can really compare apples to apples.For example, suppose you’re considering two options for a $10,000, one year personal loan. One charges 12% and no application fee. The other charges 10%, but also a $250 application fee. Which is the better deal? In other words, which loan will cost you fewer total dollars?Whether the loan fee is paid up front or withheld from your loan proceeds also affects the APR. For this example, we’ll assume the loan fee is paid up front.Based on these parameters, the loan that charges “only” 10%, but adds a $250 loan fee, carries an APR of 14.813%. However, since there are no fees associated with the other loan, the interest rate and the APR are the same – 12%. In short, the loan with the higher interest rate is the better deal in this instance.The lesson here is that when you’re shopping for a loan, don’t be fooled by an interest rate that looks too good to be true. It often is. All lenders are required to disclose the APR on any loan they make, so always use APR as your point of comparison. Otherwise, you may find yourself paying way more for credit than you realized.last_img read more

MLB trade rumors: Red Sox could pursue White Sox slugger Jose Abreu, Blue Jays reliever Daniel Hudson

first_img Pumpsie Green, Red Sox’s first African American player, dies at 85 The #RedSox are among the teams to evaluate #BlueJays reliever Daniel Hudson in recent days. Hudson, with a 0.93 ERA in his last 16 outings, is drawing trade interest from multiple teams, source says. @MLBNetwork @MLB— Jon Morosi (@jonmorosi) July 21, 2019Abreu, 32, has spent his entire six-year career with the White Sox. The three-time All-Star is slashing .273/.307/.491 with 21 home runs and 69 RBIs in 95 games with Chicago this season.Boston president of baseball operations Dave Dombrowski has “long admired” Abreu, according to Forbes’ report. Related News Florida’s Feleipe Franks calls baseball a ‘backup plan’ “I think everything started with the rotation,” Cora said. “We know that. We do feel those guys are going to give us a chance to win. … We have enough arms to finish the job.”The Red Sox finished play Sunday three games out of the second American League wild-card spot with a 54-46 record. The Red Sox have some targets in mind if they decide to be buyers before the July 31 trade deadline.Boston is “monitoring” the availability of White Sox slugger Jose Abreu and evaluating a potential deal for Blue Jays reliever Daniel Hudson, according to reports from Forbes and MLB.com. Dave Dombrowski has long admired Jose Abreu. The @RedSox are among a few teams monitoring Abreu’s availability. He might be most impactful bat on the market if @whitesox we’re willing to deal him. Could trade him and re-sign him but value as a rental is limited.— Phil Rogers (@philgrogers) July 19, 2019Hudson, meanwhile, is in his first year with the Blue Jays. He holds a 5-2 record with a 2.72 ERA in 40 appearances in 2019.The 32-year-old right-hander has also pitched for the White Sox, Diamondbacks, Pirates and Dodgers during his 10 MLB seasons.The Red Sox already completed one trade this month as they acquired starter Andrew Cashner from the Orioles. There’s a chance the team is finished making moves after that deal, Dombrowski told reporters.“We might (stand pat),” Dombrowski said, via MassLive.com. “I think it’s one of those where we’ll analyze and see what takes place. … When you look out there, there’s a good core of guys we like.”Boston manager Alex Cora said the team “should be fine” as presently constructed. Red Sox trade news: Boston acquires Andrew Cashner from Orioleslast_img read more