How does an APR impact the cost of a car?

The Annual Percentage Rate (APR) significantly affects the overall cost of a car by influencing the total interest paid on a loan. A higher APR increases monthly payments and the total repayment amount over the loan's duration, making the car more expensive in the long run. Conversely, a lower APR reduces these costs, making it more affordable. Thus, securing a favorable APR can lead to substantial savings when financing a vehicle.