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babunello [35]
3 years ago
7

rosalinda got a payday loan for 2000 due in 2 weeks and she paid a 150 fee. what is the apr on rosalindas loan

Mathematics
1 answer:
Ganezh [65]3 years ago
4 0
Kind of a trick question because if all she pays is $2,150 which is the $2,000 plus the $150 fee then technically an APR didn't apply. By hiding the APR in a fee they get unsuspecting customer's to sign up for these. From an APR perspective based on one Bi-weekly payment, it would take an APR of 555.5715% to generate a $150.00 in interest in 2 weeks.
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