Question

you borrow $5,860 from a bank you will have monthly payments of $205.10 for 3 years what percent will you pay back in interest over the entire period of the loan

Answer 1

26%

Explanation:

Your 36 monthly payments will total ...

36 × $205.10 = $7383.60

$5860 of that is the amount you borrowed. The remainder is the interest you pay:

$7383.60 -5860 = $1,523.60

As a percentage of the original loan amount this is ...

$1523.60/$5860 × 100% = 26%

You pay back 26% of the original loan amount in interest.