What is the annual percentage rate?
The Annual Percentage Rate is 17.99%. Of course, you can choose to pay your entire balance by the payment due date and pay no finance charges. Does Bill Me Later® protect me from unauthorized charges? Yes, Bill Me Later® provides “zero fraud liability” protection; the same protection provided by most major credit cards. This means you are not responsible for unauthorized charges. And Bill Me Later® has been designed with other features to help protect against unauthorized use of your account. Your identity is validated with top-of-mind information such as date of birth and the last four digits of your Social Security Number. This means there is no account number that can be lost or stolen. What does Subject to Credit Approval mean? Bill Me Later® is a credit account that you can use to make purchases. The Bank will review and consider your credit report and other credit related information prior to approval. Do you review my credit report every time I make a purchase?
The effective rate a loan per year, disclosure of which is required by the Truth-in Lending Law. The effective rate will most always be shown higher than the stated rate because of the discount points and other lender add on charges will be included to raise the effective rate of the loan. “>Answer: The effective rate a loan per year, disclosure of which is required by the Truth-in Lending Law. The effective rate will most always be shown higher than the stated rate because of the discount points and other lender add on charges will be included to raise the effective rate of the loan.
(Box “A” Above) A. The Annual Percentage Rate (A.P.R.) is the cost of your credit expressed as an annual rate. Because you may be paying loan discount “points” and other “pre-paid” finance charges at closing, the A.P.R. disclosure is often higher than the interest rate on your loan. This A.P.R. can be compared to the A.P.R. on other loan programs to give you a consistent means of comparing rates and programs. Q. Why is the ANNUAL PERCENTAGE RATE different from the interest rate for which I applied? A. The A.P.R. is computed from the Amount Financed and is based on what your proposed payments will be on the actual loan amount credited to you at settlement. In a $50,000 loan with $2,000 Prepaid Finance Charges, a 30 year term and a fixed interest rate at 12%, the payments would be $514.31 (principal and interest). Since the A.P.R. is based on the Amount Financed ($48,000), while the payment is based on the actual loan amount given ($50,000), the A.P.R. (12.
” The Annual Percentage rate is the cost of your credit transaction expressed as an annual interest rate. The annual percentage rate reflects all types of finance charges that are imposed in the credit transaction. A credit transaction may have a note rate of 9% plus high prepaid finance charges known as “points” that make the annual percentage rate much higher than the 9% note rate. A company might also verbally quote you an “add-on rate” which is also a rate much lower than the actual annual percentage rate. A 10% “add-on rate” can result in an annual percentage rate of 18%. Read Before You Sign Your creditor is required to give you specific information to help you understand the terms of your agreement. Those required disclosures must be provided clearly and conspicuously. Take the time to read your contract, do not let the creditor rush you. If there is a provision in the contract you do not understand, ask about it.
