Friday, 28 May 2010

What's the highest interest rate you can imagine? Not close.

I was expressing some surprise at an APR (annual interest rate) advertised on the TV for a monthly payments store the other day. It was getting on for 30%, which seemed a lot, given the current bank interest rates. It is, after all, more than credit cards charge.

But then another advert came on for a company called QuickQuid. I was so gobsmacked by the interest rate offered that I had to go to their website and check.

To be fair to them, it has come down since the TV ad. When I looked the typical APR was 2278%. That's not 22.78% but 2278. Yes, two thousand, two hundred and seventy eight percent. What can I say? The mind truly boggles. I hate to think what the rate would be if bank interest rates were high...

No comments:

Post a Comment