A RECENT survey by the Financial Services Authority (FSA) has shown many customers are baffled by mortgage lenders' jargon.

It found nearly 60 per cent did not know what APR (annual percentage rate) stood for.

And just over half of the 800 mortgage holders interviewed did not know what APR they are paying on their current mortgage.

The FSA took up regulatory responsibility for mortgages last year and stated it wants to make mortgages easier to understand for consumers.

It is therefore spending £1.5m publicising its new website, mortgageslaidbare.info The website offers many tips on mortgages such as how to shop around for the best mortgage deal, information on different types of mortgages and tools allowing people to work out what levels of repayment they can afford.

People will also be able to use the website to check whether a firm is authorised to give mortgage advice.

David Whitely, spokesman for the FSA, said: "It used to be the case consumers would be offered one type of mortgage by their bank or building society but these days, there are so many different types of mortgages available, all with their own jargon.

"Mortgage choice is a good thing but consumers need to arm themselves with more knowledge when looking for the right one. This is where the website comes in."