What does representative APR really mean?

Stick man teaching a class


The representative APR of a loan is the effective rate of interest that is paid by at least 51% of a company’s customers including all charges and fees.

  • The idea is to give you a fair indication of the actual total cost of a product.
  • This was introduced as a result of companies advertising low-interest rates (to appear cheap) but then adding lots of other fees and charges making the overall cost higher.
  • So the representative APRs listed below are for that lender.
  • Our representative APR is 49.5%, therefore over 51% of our customers paid an effective rate of 49.5% for their loan with the lender they chose.

What is representative example?

  • The representative example is a calculation of all the costs associated with an example loan using the representative APR for that product.
  • To give you a fair indication of the monthly payment and total amount payable for the loan amount and term used.
  • The representative example for guarantorloansuk.net is: If you borrow £4,000 over 36 months at a Representative rate of 49.5% APR and an annual interest rate of 49.50% (variable), you would pay 36 monthly instalments of £194.52. The total charge for credit will be £3,002.72 and the total amount payable £7,002.72.

Our Lenders Representative APR’s

1 + 1 Loans

Representative APR47.8%
Representative Example£4,000 over 3 years
Monthly Payment£191.78
Annual Interest Rate47.8% Fixed
Total Payable£6,904.08
More info on 1 + 1

Amigo Loans

Representative APR49.9%
Representative Example£4,000 over 3 years
Monthly Payment£195.16 per month
Annual Interest RateInterest rate 49.9% (variable)
Total Payable£7,025.76
More info on Amigo

Bamboo Loans

Representative APR49.7%
Representative Example£2,600 over 3 years
Monthly Payment£126.61
Annual Interest Rate41% Fixed
Total Payable£4,557.89
More info on Bamboo

Buddy Loans

Representative APR49.9%
Representative Example£3,250 over 3 years
Monthly Payment£158.57
Annual Interest Rate41.16% Fixed
Total Payable£5,714.67
More info on Buddy

George Banco

Representative APR49.7%
Representative Example£3,500 over 3 years
Monthly Payment£170.56
Annual Interest Rate41.04% Fixed
Total Payable£6,140.16
More info on George Banco

Guarantor My Loan

Representative APR48.9%
Representative Example£4,000 over 3 years
Monthly Payment£193.56
Annual Interest Rate17% per annum fixed + service fee of 23.48% per annum fixed
Total Payable£6,986.16
More info on Guarantor My Loan

Trust Two

Representative APR49.5%
Representative Example£4,000 over 3 years
Monthly Payment£194.55
Annual Interest Rate40.9% (fixed)
Total Payable£7,003.80
More info on Trust Two

UK Credit

Representative APR39.9%
Representative Example£4,000 over 3 years
Monthly Payment£178.80
Annual Interest Rate34.05% Fixed
Total Payable£6,436.80
More info on UK Credit