Repayment multiple to APR converter
Convert a repayment multiple (sometimes called a factor rate or fixed fee) into an approximate APR, so you can compare short-term and revenue-based finance offers with loans on the same basis. The multiple is applied to the amount you receive to give the total amount repayable; APR expresses that cost per year, which depends heavily on how short the term is.
£10k£1m
1.051.60
3 mo24 mo
Approximate APR
- Total amount repayable
£62,500£62,500 - Cost of finance
£12,500£12,500
Approximate, from equal repayments over the term, fees excluded. Compare the total cost in pounds too.
How is this calculated?
- Total amount repayable = amount received × multiple.
- Repayment = total repayable ÷ number of repayments in the term.
- APR is the periodic rate that discounts those repayments back to the amount received, annualised.
Estimates are good. Offers are better.
See your real amount and repayments with a soft search, which won't affect your credit file. Subject to status.