Don’t Believe Your Ears Alone
We are such a gullible lot that it doesn’t take too much effort on the part of a unscrupulous lender to fool us. This happens especially when lenders advertise rates, where they get away with all kinds of what most people would call "smoke and mirrors". Townhall.com reports:
Instead of advertising a rate that is under the market and stating it will cost one point (one percent of the loan, which is used to buy down the rate), they will smile and tell you the APR instead. They will not advertise a rate of 5.75% with a cost of one point, they will say 5.75% with an APR of 5.99%. Did you know that meant you were going to have to pay a point? Probably not.
Read more: Words today don’t always have a meaning
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