Vehical Financing?

Question

My boyfriend bought a truck for 15,309.90$ before finance charges. He just found out that they gave him a 17.95% interest rate and somehow came out to over 26,000 dollars. I was wondering how the heck it came out to be almost twice the amount of the truck. If this is right, could you please show me the math?

Answer 1

to borrow $15309.90 for 1 year at 17.95%costs you 15309.90 X .1795 = $2748.13
Thats $2748.13 in interest for every year. (And your bf was going to pay for this over how many years?)