# Basic loan rate math

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1. Aug 12, 2011

### KingNothing

Hi guys, it's 3 AM so don't judge me. I'm doing some accounting work with my student loans and I want you to confirm something for me:

If I have two loans:
$1,598 @ 6.8% F-APR$6,680 @ 3.8% F-APR

Then the 'equivalent' single loan would be:
\$8,278 @ 4.38% F-APR

Correct? I used a weighted average of the interest rates, using the principal amount as the weight.

2. Aug 12, 2011

### HallsofIvy

Yes, that's what I get.