---
id: faq-0008
title: "What does APR mean, and how does it affect my car payment?"
category: faq
subtopic: financing
page_type: faq
source_url: "https://www.castlehyundaioaklawn.com"
tags: ["financing", "APR", "interest"]
questions:
  - "What is APR?"
  - "How does interest rate affect my payment?"
  - "Why do different people get different APRs?"
related: [financing-options, monthly-payment]
dealer: Castle Hyundai Oak Lawn
---

APR stands for Annual Percentage Rate-it's the yearly cost of borrowing money, expressed as a percentage. The higher your APR, the more interest you pay over the life of your loan, which increases your monthly payment. For example, a lower APR means lower total interest paid and often a smaller monthly payment. Your APR depends on several factors: your credit score (higher scores typically earn lower rates), the loan term you choose, the vehicle's age and type, your down payment size, and current market rates. Castle Hyundai Oak Lawn's Finance team works hard to get you competitive rates by partnering with multiple lenders. To find out your exact APR and see how different rates affect your payment, call (708) 422-9300. We'll show you the real numbers for your situation.