29/08/2009

APR is not comprehensive enough.

You can use the APR (Annual Percentage Rate of charge) to compare different credit and loan offers.

 

Ideally a comparison APR of different lenders for similar loan amount should give you an excellent idea of which loan to choose.

 

However, Jack Guttentag, the Mortgage Professor believes that APR is not the best gauge of mortgage costs.

 

Read on.