I'm trying to figure out the fee-adjusted interest rate paid when incurring a balance transfer fee on a loan, not accounting for inflation.
If the APR is 4%, the loan 5000, the transfer 2% and you pay it off in 200 days (54.8% of the year when rounded to 2 decimals), I see it this way:
(APR: 4% Loan: 5,000 Transfer fee: 2% Days: 200)
Present Value: 4,900 (Loan - transfer fee %)
Future Value: 5,109.589041095890411 (loan * ( APR * (200/365) ) )
Real Rate Over 200 Days: 4.2773273693039% ( (FV - PV) / PV )
Real Rate Over 365 days: 7.806122448979618% ( ( (FV - PV) / PV ) * (365/200) )
Is there something missing and if so, what?