What is APR?
APR is the actual annual percentage rate otherwise known as the comparison rate. This means all lenders should disclose their fees and charges all year round such as set up costs, monthly costs, annual costs, etc, all these need to be declared and converted into a rate. e.g. a rate could be 6% but after all the fees and charges there is an additional 1.5% P.A. in cost approx this brings your actual comparison rate up to 7.5%. This just an example of how it works, so next time if I were you I’d be asking what is my comparison rate and not falling for their marketing gimmicks. Because at the end of the day it is your money.
The Annual Percentage Rate (APR) is the cost of your credit expressed as an annual rate. Because you may be paying loan discount “points” and other “prepaid” finance charges at closing, the APR disclosed is often higher that the interest rate on your loan. This APR can be compared to the APR on other loan programs to give you a consistent means of comparing rates and programs.
APR stands for Annual Percentage Rate which is a percentage used to determine the overall cost of your cash advance loan. APR takes into account all additional fees charged on your loan, including processing fees, underwriting fees, document-preparation fees, origination costs, and other costs associated with payday loans that you may be unaware of.
APR is abbreviated for Annual Percentage Rate. The APR is the annual cost of the mortgage expressed in the form of a yearly rate. The APR is generally higher than the note rate because the APR includes the interest rate plus related costs such as points, fees for processing the loan and other pre-paid charges. The APR can be used to compare the actual cost of different types of mortgages.
