2278% apr?????????

Consumerist

puddy wrote: »

how is the calculation worked out then,

Let's take another example :-

Halifax charges £5 per day for an unauthorised overdraft.

Let's say you are £1.00 overdrawn for 1 day then that's 500% interest per day. Over a year that's 365 x 500% = 182,500% APR.

See how easy it is to generate very high APRs from small amounts over short periods?

paulmcerlean

zaksmum wrote: »

OF COURSE I do!! You'd have to be a bit dumb not to, wouldn't you??

If you understood then you would know that a payday loan is short term no more than a month normally and APR is calculated annually thus making your rant irrelevant.

Seeing as you cant have a payday loan for a year, you would pay nothing even remotely close to the stated APR.

Calculate a monthly bank charge over the year and see what APR you come out with. I would bet it to be more than the above.

Find it strange that a regular forum user would post such a stupid post.

_Andy_

Oh joy, yet another 'blahblahAPR is extortion' thread.Zzzzz

zaksmum

paulmcerlean wrote: »

If you understood then you would know that a payday loan is short term no more than a month normally and APR is calculated annually thus making your rant irrelevant.

Seeing as you cant have a payday loan for a year, you would pay nothing even remotely close to the stated APR.

Calculate a monthly bank charge over the year and see what APR you come out with. I would bet it to be more than the above.

Find it strange that a regular forum user would post such a stupid post.

Well I find it strange that you can be so rude. Don't call me stupid.

opinions4u

zaksmum wrote: »

Don't call me stupid.

It was the post that was described as stupid, not you.

zaksmum

As I posted it he's indicating that I'm stupid too. Very ill mannered person.

opinions4u

zaksmum wrote: »

As I posted it he's indicating that I'm stupid too. Very ill mannered person.

Do you remember posting this:

Do you understand what APR stands for?

OF COURSE I do!! You'd have to be a bit dumb not to, wouldn't you??

I would hazard a guess that 50% of people have no idea what APR stands for. You have described them all as dumb. I'd suggest there is a pot / kettle / black thing going on here.

CHR15

Maybe zaksmum could explain why she made this sensationalist post if she already understands the total irrelevance of the APR figure.

Either that or continue abusing posters in defence.

zaksmum

Sensationalist post? I was just amazed at the APR which by any standards is huge.

Its-A-New-Age-Thing

2278% APR.................seems quite cheap to me.....

:whistle::whistle::whistle: