APR and Calculation Accuracy:

APR (Annual Percentage Rate) refers to the effective annual interest rate being charged for a loan when points and/or fees are taken into account. Points and Fees generally reduce the actual proceeds received by the borrower, in effect, increasing the effective annual interest rate paid by the borrower. Exec-Amort™ solves for the APR by the actuary method per Regulation Z of the Truth in Lending Act.

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