Amazon Lending % Question


#1

Hello,

Can someone please explain this Amazon Lending of 6k at 6 month payments?

Loan Summary

Interest (15.90% annual rate) $281.34
Net Loan Proceeds $6,000
Total of Payments $6,281.34
Monthly Payment $1,046.89
Total Cost (4.69%) $281.34

So why is it a 15.9% annual rate but a total cost of 4.69% at $281.34?

Is $281.34 the final fee in total for this? Any advice is much appreciated.

Also, does this have any negative effect on my account?

Thanks!


#2

Im not sure how they work the numbers but I am near the end of paying back a amazon loan and it worked very well for me


#3

A loan from Amazon lending will not have any effect on your account unless you do not pay as promised.
> Thanks!

The 15.9% is an annual percentage. (the amount that you would be charged if no principal amount were payed for a period of 1 year)
You are paying off the total loan in 6 months and as you make the monthly payment each month there is a smaller principal balance that is charged the annual percentage.


closed #4