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Worst ever APR on a loan??
Evening all,
I thought I would share with you an experience that I will remember for the rest of my life.
Recently, I bought a used car from a local independent dealer. The car cost £3750. I wanted to pay £2750 cash and pay £1000 through the company's finance. The manager took myself and my partner into his "office" (Porta-cabin) and to talk numbers. He said I would be getting a phonecall from the finance company within the next couple of days to finalise details. I would then go back to the dealer and pay the rest of the £2750.
Sure enough, the call came through and the very nice girl from the finance company explained that they would not be able to accept the deal. I asked why and she said it would be illegal for them to put their name to this finance agreement because £1000 borrowed over 12 months with them would work out at 67.9% APR!!! :eek:She recommended I increase the term to 24 months, which would be something like 59% APR.
Needless to say I politely thanked her for her call, explained I would not be using their services and stuck the £1000 on my credit card instead.
That is the most I've ever seen on a standard loan (i.e. not a payday loan).
Can anyone beat this?
HB
I thought I would share with you an experience that I will remember for the rest of my life.
Recently, I bought a used car from a local independent dealer. The car cost £3750. I wanted to pay £2750 cash and pay £1000 through the company's finance. The manager took myself and my partner into his "office" (Porta-cabin) and to talk numbers. He said I would be getting a phonecall from the finance company within the next couple of days to finalise details. I would then go back to the dealer and pay the rest of the £2750.
Sure enough, the call came through and the very nice girl from the finance company explained that they would not be able to accept the deal. I asked why and she said it would be illegal for them to put their name to this finance agreement because £1000 borrowed over 12 months with them would work out at 67.9% APR!!! :eek:She recommended I increase the term to 24 months, which would be something like 59% APR.
Needless to say I politely thanked her for her call, explained I would not be using their services and stuck the £1000 on my credit card instead.
That is the most I've ever seen on a standard loan (i.e. not a payday loan).
Can anyone beat this?
HB
Please continue to hold the line. Your call is very important to us and will be answered by next available robot...
0
Comments
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Lol! Thats a mental amount of money!0
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Imagine my surprise when she told me...Please continue to hold the line. Your call is very important to us and will be answered by next available robot...0
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