12 percent annual interest rate
27 Mar 2019 An annual percentage rate, or APR, is a quick way to see what a credit Each month, you'll be charged 1/12 of that 5 percent interest rate (5 19 Sep 2018 APY (annual percentage yield) refers to what you can earn in interest once at the end of a year, or 0.69 percent (8.28 percent divided by 12 You pay interest on the amount borrowed for a particular month. Since you're borrowing the most money at the beginning of the loan, you're also paying the most interest. At the beginning of a $300k loan with 4% interest rate, you'll pay $1000 in interest the first month ($300k x 0.04) / 12 = $1000.