Enter the interest rate (%) and the additional fees and charges (%) into the Comparison Rate Calculator. The calculator will evaluate the Comparison Rate.
Comparison Rate Formula
The following two example problems outline the steps and information needed to calculate the Comparison Rate.
COMR = IR + AF
- Where COMR is the Comparison Rate (%)
- IR is the interest rate (%)
- AF is the additional fees and charges (%)
To calculate the comparison rate, add together the interest rate and any additional fees and charges.
How to Calculate Comparison Rate?
The following example problems outline how to calculate Comparison Rate.
Example Problem #1:
- First, determine the interest rate (%).
- The interest rate (%) is given as: 5.
- Next, determine the additional fees and charges (%).
- The additional fees and charges (%) is provided as: 2.5.
- Finally, calculate the Comparison Rate using the equation above:
COMR = IR + AF
The values provided above are inserted into the equation below and computed.
COMR = 5 + 2.5 = 7.5 (%)
Example Problem #2:
For this problem, the variables required are provided below:
interest rate (%) = 6
additional fees and charges (%) = 3
Test your knowledge using the equation and check your answer with the calculator..
COMR = IR + AF = ?
