apr: Missoula Home Buyers - OMG Watch Out for Lurking APR Predators - 09/22/09 02:51 AM
This is a great explanation of Annual Percentage Rate from Bill Ladewig for Missoula or Western Montana Home Buyers.

APR Predators and APR Demystified
First, lets demystify Annual Percentage Rate (APR).

APR was designed to allow consumers to use one standardized number to compare the real cost of each lender's interest rate and it works like this.
If I lend you, $10,000  and, I charge a $500 Bump-ta-Bump Fee, you will actually receive $9,500, however you must still repay me $10,000.  APR is my real yield and your real cost on this loan.
We agreed that you will repay the loan at 8% interest on $10,000, HOWEVER you only received $9,500 therefore … (1 comments)