APR (DAE)
The total yearly cost of a loan, interest and every fee included, as a percentage.
What is the APR (DAE)?
APR, the annual percentage rate (DAE in Romanian), tells you what a loan really costs a year: it adds up interest, arrangement and administration fees, and compulsory insurance.
Two loans with the same interest rate can have very different APRs if one carries large fees. That is why the law makes lenders show the APR in offers and contracts. It is the standard number for comparing offers of the same amount and term; read it alongside the total amount repayable and the type of interest rate.
For consumer loans from Romanian non-bank financial institutions (IFNs) covered by Law 243/2024, the general APR cap is the BNR Lombard rate plus 27 percentage points: 34.50% a year at the 7.50% rate maintained on 8 October 2026. By exception to the general APR cap, loans of up to 25,000 lei have daily total-credit-cost caps of 1% up to 5,000 lei, 0.8% from 5,001 to 10,000 lei, and 0.6% from 10,001 to 25,000 lei; the total amount repayable cannot exceed twice the credit amount. The IFN limits were checked on 19 October 2026.
Compound interest works here too. A debt growing at 30% a year doubles in under three years. If you miss repayments, the balance grows by the interest and penalties in the contract, which may differ from the APR.
On 10,000 lei, a cost of 30% a year means about 3,000 lei in the first year.
What is the difference between interest rate and APR?
The interest rate is the price of the borrowed money. The APR adds fees and compulsory insurance, so it shows the loan's total yearly cost.
Is there a maximum APR in Romania?
For consumer loans from non-bank lenders covered by Law 243/2024, the general cap is the BNR Lombard rate plus 27 percentage points: 34.50% at the 7.50% rate maintained by BNR on 8 October 2026. By exception to the general APR cap, loans up to 25,000 lei have daily total-cost caps of 1% up to 5,000 lei, 0.8% from 5,001 to 10,000 lei, and 0.6% from 10,001 to 25,000 lei. The total amount repayable cannot exceed twice the credit amount. This answer explains the Article 5–6 caps for consumer loans from IFNs; Law 243/2024 also regulates debt assignment and debt recovery.
Related terms
Sources
- Law 243/2024 on consumer protection against the total cost of credit · legislatie.just.ro
- BNR, 8 October 2026 decision: Lombard rate held at 7.50% · www.bnr.ro
IFN limits checked on 19 October 2026; they can change with the Lombard rate.
This page explains mechanisms and shows what happened in the past. It does not recommend products, say what to buy, or take your situation into account.