The Consumer Credit (Advertisements) Regulations 2004

APR

8.—(1) A credit advertisement shall specify the typical APR if the advertisement—

(a) specifies any other rate of charge;

(b) includes any of the items of information listed in paragraphs 5 to 7 of Schedule 2 to these Regulations;

(c) indicates in any way, including by means of the name given to a business or of an address used by a business for the purposes of electronic communication, that—

(i) credit is available to persons who might otherwise consider their access to credit restricted, or

(ii) any of the terms on which credit is available is more favourable (either in relation to a limited period or generally) than corresponding terms applied in any other case or by any other creditors, or

(d) includes any incentive to apply for credit or to enter into an agreement under which credit is provided.

(2) A credit advertisement may not indicate the range of APRs charged where credit is provided otherwise than by specifying, with equal prominence, both—

(a) the APR which the advertiser reasonably expects, at the date on which the advertisement is published, would be the lowest APR at which credit would be provided under not less than 10% of the agreements he will enter into as a result of that advertisement, and

(b) the APR which the advertiser reasonably expects, at that date, would be the highest APR at which credit would be provided under any of the agreements he will enter into as a result of that advertisement.

(3) An APR shall be denoted in an advertisement as “%APR”.

(4) Where an APR is subject to change, it shall be accompanied by the word “variable”.

(5) The typical APR shall be—

(a) accompanied by the word “typical”;

(b) presented together with any of the items listed in Schedule 2 that are included in the advertisement;

(c) given greater prominence in the advertisement than—

(i) any other rate of charge;

(ii) any of the items listed in Schedule 2, and

(iii) any indication or incentive of a kind referred to in paragraph (1)(c) or (d), and

(d) in the case of an advertisement in printed or electronic form which includes any of the items listed in Schedule 2, shown in characters at least one and a half times the size of the characters in which those items appear.

(6) In the case of an advertisement relating to a debtor-creditor agreement enabling the debtor to overdraw on a current account under which the creditor is the Bank of England or an authorised deposit taker, there may be substituted for the typical APR a reference to the statement of—

(a) a rate, expressed to be a rate of interest, being a rate determined as the rate of the total charge for credit calculated on the assumption that only interest is included in the total charge for credit, and

(b) the nature and amount of any other charge included in the total charge for credit.