The cost of an installment loan varies depending on the collateral, the borrower’s qualifications, and the loan term’s length. This is because there is more risk associated with loans that are unsecured, made to less creditworthy borrowers, and with longer repayment terms For an unsecured loan with a repayment term between 12 and 84 months, you can expect to pay an APR ranging from 2.5% to 36%.