Definitions for "APR - Annual Percentage Rate"
A measure of the cost of credit, expressed as a yearly rate. It includes interest as well as other charges. Because all lenders follow the same rules to ensure the accuracy of the annual percentage rate, it provides consumers with a good basis for comparing the cost of loans, including mortgage plans.
The total finance charge (interest, loan fees, points) expressed as a percentage of the loan amount.
Introduced under the Consumer Credit Act 1974 as a means of comparing like with like ie. One loan with another or one credit card to another. It should be quoted whenever money is borrowed. The APR calculates the total interest to be paid over the whole term and includes any charges to be paid as well as the headline interest rate.
Keywords:  actual, higher, your, rate, mortgage
On some mortgages the APR is higher than your actual mortgage rate.