Glossary · Credit

APR (Annual Percentage Rate)

Links marked * are commercial or go to our partner sites, which share our operator. Third-party companies may pay us commission. How we make money.

Content updated: 26 May 2026

By the Money Guide editorial team · Editorial responsibility: Kaiser Khan, Editorial Director · How we check facts

Definition: The total annual cost of borrowing, including interest and standard fees, expressed as a percentage.

APR makes credit comparable across products and providers. Representative APR is the rate at least 51% of accepted applicants will receive — the rate you are offered may differ depending on your credit profile.

Primary source: legislation.gov.uk/ukpga/1974/39

More Credit terms

BNPL (Buy Now Pay Later)
CCJ (County Court Judgment)
Default (credit)
Section 75

← All glossary terms