ANNUAL PERCENTAGE RATE

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ANNUAL PERCENTAGE RATE - (APR)

Annual percentage rate - (APR) is a figure that all lenders must provide as it indicates the cost of borrowing allowing for any fees that apply and how often the interest is calculated i.e daily, monthly annually etc. The APR normally varies from the actual interest rate. As an example a lender may offer a mortgage rate of 6.60% but the loan has an APR of 6.8%.

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