Annual Cost Rate (APR) Calculator
Enter the loan amount, monthly rate, term and fees. The real annual cost with interest, KKDF, BSMV and the loan fee is worked out with the method in the Turkish regulation.
- Monthly cost rate4.8543%
- Compound annual rate (no tax or fees)54.65%
- Monthly payment5,896.70 ₺
- Upfront costs575.00 ₺
- Total paid212,856.36 ₺
KKDF rate: GİB / Cumhurbaşkanı Kararı
BSMV rate: GİB / Cumhurbaşkanı Kararı
APR calculation rules: Ticaret Bakanlığı (6502 s.K. yönetmelikleri)
How it is calculated
The annual cost rate expresses the loan’s full cost, with interest, taxes and fees, as one yearly rate: the right way to compare offers with different terms, rates and fees. Banks must show it in the pre-contract information form. The consumer credit regulation calls it the “effective annual interest rate”.
Kredi − Peşin masraflar = Σ Taksit_k ÷ (1 + X)^(k/12)X: annual cost rate · Payments include KKDF and BSMV; the fee and its BSMV are taken at the start. The regulation counts a year as 360 days and a month as 30.- Find what you actually receive: the loan minus the fee, its BSMV and other upfront costs.
- Find the monthly rate at which all payments are worth exactly that today (internal rate of return).
- Turn it into a yearly rate: (1 + monthly rate)^12 − 1.
Example
For ₺100,000 at 3.70% a month over 36 months (KKDF and BSMV at 15% each) the payment is ₺5,896.70. After a ₺500 fee and ₺75 BSMV you receive ₺99,425, and the annual cost rate is 76.6186%, the same figure a Turkish bank publishes for this loan.
Frequently asked questions
Why is the APR so much higher than the rate?
Three reasons: the monthly rate compounds over a year, consumer loans add KKDF and BSMV to the interest (15% + 15%), and the fee reduces what you receive.
Is insurance included in the APR?
The regulation counts interest, taxes and fees; banks usually leave life insurance out. If you pay it upfront, enter it under “Other upfront costs” to see its effect.