Loan Comparison
Compare APR, terms, fees, monthly payments, and total borrowing cost before accepting financing.
What Loan Comparison gets you.
By the end of this upgrade you will have a side-by-side comparison of at least two loan offers showing APR, fees, monthly payment, and total cost, with a documented choice.
- Written loan offers or rate quotes from at least two lenders
- Loan amount and desired term
- List of any fees disclosed (origination, application, prepayment penalty)
- Your current credit standing, since it affects rate eligibility
Run the upgrade.
- 01
Collect full offer details for each lender
Gather the APR (not just interest rate), loan term, monthly payment, and every disclosed fee for each offer you're comparing.
- 02
Build a comparison table
List each lender in a column with rows for APR, term, monthly payment, upfront fees, and any prepayment penalty.
- 03
Calculate total cost of each loan
Multiply the monthly payment by the number of payments and add upfront fees to get the true total cost for each offer.
Total cost = (monthly payment x number of payments) + upfront fees
- 04
Compare total cost, not just monthly payment
Rank the offers by total cost first, since a lower monthly payment on a longer term can cost more overall.
- 05
Check for prepayment penalties or rate changes
Confirm whether the rate is fixed or variable and whether paying the loan off early triggers any penalty.
- 06
Document the chosen offer and reasoning
Write down which loan you selected and the specific numbers (APR, total cost) that drove the decision.
- At least two loan offers are documented with APR, term, and fees
- Total cost is calculated for each offer
- Prepayment penalty and rate-type status are confirmed for each
- A final choice is documented with supporting numbers
Revisit when
- Rate quotes expire or change before signing
- Reuse this comparison process for any future loan
Loan terms and eligibility vary by lender and change over time; confirm final rates and fees directly with the lender before signing.