The present invention provides methods for configuring and transmitting a positioning reference signal (PRS) used for estimating the location of a machine type communication (MTC) terminal in a wireless access system supporting machine type communication (MTC), and an apparatus for supporting the same. According to one embodiment of the present invention, a method for transmitting, by a base station, a positioning reference signal (PRS) used for estimating the location of a machine type communication (MTC) terminal in a wireless access system supporting MTC, comprises the steps of: repeating transmission of a physical downlink shared channel (PDSCH) including the same downlink data N times; and transmitting the PRS in a PRS subframe (SF), wherein when the PRS SF consists of a normal subframe (SF) and a multimedia broadcast multicast service single frequency network (MBSFN) SF, a normal cyclic prefix (CP) is used as a CP to be applied to the PRS, and when the PRS SF consists of only the MBSFN SF, a CP applied to the PRS may be an extended CP.