APR stands for annual percentage rate, which is the yearly interest rate for a loan, credit card, or other type of debt. It’s a broader measure of the cost of borrowing money than the interest rate alone because it includes other fees associated with the loan.
Here are some things to know about APR:
What it includes:

• APR includes the interest rate, plus any discount points and other fees.
• How it’s calculated: APR is calculated by multiplying the daily interest rate by 365.
• Why it’s important: APR is an important number to consider when applying for new credit because it gives you a complete picture of the cost of borrowing money.
• How it compares to interest rate: While both are expressed as percentages, APR is a more complete measure of the cost of borrowing money than interest rate alone.