Financial illiteracy threatens mis-selling rise - IFS

In what the IFS describes as “a major audit” of the British consumer’s financial nous, the study discovered almost eight out of ten (79%) of people did not correctly identify the term ‘APR’ as the interest rate and cost of a loan, even though almost all of those people deem themselves to be confident about their finances. Similarly, this same report revealed three out of ten (29%) did not understand a standing order is best described as regularly paying the same amount of money to someone while 40% of people do not really understand financial products such as mortgages and Isa, while thr...