APR (Payday Loan) Calculator

Estimate the Annual Percentage Rate (APR) for your payday or salary advance loan based on loan amount, tenure and charges.

Loan Details

Enter your loan amount, days and applicable charges.

Your APR estimate will appear here

Fill in the loan details and click Calculate APR to view monthly APR, yearly APR and total repayment details.

What is APR in a payday loan?

APR, or Annual Percentage Rate, shows the yearly cost of borrowing after considering interest and charges. For payday loans and salary advance loans, APR can look higher because the loan tenure is usually short. A 15-day or 30-day loan is annualised to make the cost easier to compare with other credit products.

This calculator estimates APR using your loan amount, number of days, per-day interest, processing fee percentage and GST on the processing fee. It is meant to help you understand the approximate cost before accepting any loan offer.

Before you borrow

Check the total repayment amount, not only the loan amount.
Make sure the due date comes after your expected salary credit.
Borrow only the amount needed for the immediate requirement.
Keep enough balance for rent, groceries, bills and existing EMIs.

Principal

The loan amount you receive before interest, fees and GST are added.

Interest

The per-day interest cost multiplied by the loan amount and tenure.

Charges

Processing fee and GST are included to estimate total loan charges.

APR

The annualised borrowing cost used to compare different loan offers.

APR Calculator FAQs

A few common questions borrowers ask before comparing payday loan costs.

Why does payday loan APR look high?

Payday loans are short-tenure loans. When short-term charges are converted into an annual percentage, the yearly APR can appear high even for a small loan.

Is APR the same as interest rate?

No. Interest rate considers only interest, while APR also includes charges such as processing fee and GST where applicable.

Should I compare loans using APR?

Yes, APR helps compare the overall cost of different loan offers, especially when fees and tenure are different.

Is this calculator a final loan quote?

No. It is an estimate. Final charges, approval, repayment date and APR depend on the lender's terms and your accepted loan offer.