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Highest APR - 461.6%!!!!!

gary773
gary773 Posts: 2 Newbie
in Loans
Has anyone heard of a higher APR than that stated on the mobile money website (mobilemoney.co.uk).

They state their representative APR is 461.6%

Can this be correct and legal?
«13

Comments

  • Farmerbob
    Farmerbob Posts: 234 Forumite
    Part of the Furniture 100 Posts Combo Breaker
    Loads are more than that, Wonga is around 4214% APR, so it does not surprise me and its legal!
  • jd87
    jd87 Posts: 2,345 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Combo Breaker
    Oh not again. Yes it is legal. Much higher APRs are regularly seen.

    APR = ANNUAL percentage rate.

    You won't pay 461.6% interest because you won't be borrowing for a whole year.
  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    yes, several thousands

    and

    yes and yes

    why are you shocked?
  • Apples2
    Apples2 Posts: 6,442 Forumite
    have you been living in a cave OP?

    It's near enough to Wednesday I suppose
  • paddyrg
    paddyrg Posts: 13,543 Forumite
    You ask me to lend you £100 until next week, and agree to give me back an extra tenner for my trouble. Effective APR is around 14000% or something scary sounding.

    Hotel rooms also sound scary at £36,500 a year (or £100/night), it is just you have to state an APR for loans, even if short term.
  • Enfieldian
    Enfieldian Posts: 2,893 Forumite
    Part of the Furniture Combo Breaker
    I hope that you didn't hear this on the radio while you were driving OP, with OTT reactions like that it could have been fatal.....
  • paulmcerlean
    paulmcerlean Posts: 831 Forumite
    gary773 wrote: »
    Has anyone heard of a higher APR than that stated on the mobile money website (mobilemoney.co.uk).

    They state their representative APR is 461.6%

    Can this be correct and legal?

    They dont lend over a year so the APR is an irrelevance.
  • aimingforadebtfreelife
    aimingforadebtfreelife Posts: 393 Forumite
    But try https://www.auto-money.co.uk - you can borrow £5000 over a year secured on your car...

    Wait for it....

    You then pay £1126.32 a month and total payable £13540.04

    APR 799.9 and this is a year :silenced::silenced::silenced:
  • blacksta
    blacksta Posts: 919 Forumite
    aimingforadebtfreelife wrote: »
    But try https://www.auto-money.co.uk - you can borrow £5000 over a year secured on your car...

    Wait for it....

    You then pay £1126.32 a month and total payable £13540.04

    APR 799.9 and this is a year :silenced::silenced::silenced:


    What not just put the £1126.32 aside and buy the car outright - but i suspect people fall for this nonsense cause they have no common sense
    I owe £3233 @ 0%
  • nomoneytoday
    nomoneytoday Posts: 4,866 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    There's one born every minute...
This discussion has been closed.
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