Tag Archives: finance definitions

Definition of Installment Loan

The definition of installment loan = a loan whereby the borrower pays back the lending institution in incremental payments. Usually these “installment payments” are made on a monthly basis or a biweekly frequency.
Borrowers who need an installment for $1,000, $2,000, $3,000, $4,000, or $5,000 – $10,000, will often find the lenders demanding payment in a [...]

What Does APR Stand For?

In simplified terms, APR is an acronym for Annual Percentage Rate. The annual percentage rate is what a lender charges you for a full year of financing.
Example:

you borrow $100,000 dollars for a full year
the APR (annual percentage rate) is 7 %
your total APR cost is $7000
paid out monthly =  $583.33 in interest per month

Nominal APR
Nominal [...]