**STATE USURY LAWS**

ALABAMA, the legal rate of interest is 6%; the general usury limit is

8%. The judgment rate is 12%.

ALASKA, the legal rate of interest is 10.5%; the general usury limit

is more than 5% above the Federal Reserve interest rate on the day

the loan was made.

ARIZONA, the legal rate of interest is 10%.

ARKANSAS, the legal rate of interest is 6%; for non-consumers the

usury limit is 5% above the Federal Reserve's interest rate; for

consumers the general usury limit is 17%. Judgments bear interest at

the rate of 10% per annum, or the lawful agreed upon rate, whichever

is greater.

CALIFORNIA, the legal rate of interest is 10% for consumers; the

general usury limit for non-consumers is more than 5% greater than

the Federal Reserve Bank of San Francisco's rate.

COLORADO, the legal rate of interest is 8%; the general usury limit

is 45%. The maximum rates to consumers is 12% per annum.

CONNECTICUT, the legal rate of interest is 8%; the general usury rate

is 12%. In civil suits where interest is allowed, it is allowed at

10%.

DELAWARE, the legal rate of interest is 5% over the Federal Reserve

rate.

DISTRICT OF COLUMBIA, the legal rate of interest is 6%; the general

usury limit is in excess of 24%.

FLORIDA, the legal rate of interest is 12%; the general usury limit

is 18%. On loans above $ 500,000 the maximum rate is 25%.

GEORGIA, the legal rate of interest is 7%; On loans below $ 3,000 the

usury limit is 16%. On loans above $ 3,000, the limit appears to be

5% per month. As to loans below $ 250,000 the interest rate must be

specified in simple interest and in writing.

HAWAII, the legal rate of interest is 10%. The usury limit for

consumer transactions is 12%.

IDAHO, the legal rate of interest is 12%. Judgments bear interest at

the rate of 5% above the U.S. Treasury Securities rate.

ILLINOIS, the legal rate of interest is 5%. The general usury limit

is 9%. The judgment rate is 9%.

INDIANA, the legal rate of interest is 10%. Presently there is no

usury limit; however, legislation is pending to establish limits. The

judgment rate is also 10%.

IOWA, the legal rate of interest is 10%. In general consumer

transactions are governed at a maximum rate of 12%.

KANSAS, the legal rate of interest is 10%; the general usury limit is

15%. Judgments bear interest at 4% above the federal discount rate.

On consumer transactions, the maximum rate of interest for the first

$ 1,000 is 18%, above $ 1,000, 14.45%.

KENTUCKY, the legal rate of interest is 8%; the general usury limit

is more than 4% greater than the Federal Reserve rate or 19%,

whichever is less. On loans above $ 15,000 there is no limit.

Judgments bear interest at the rate of 12% compounded yearly, or at

such rate as is set by the Court.

LOUISIANA, the legal rate of interest is one point over the average

prime rate, not to exceed 14% nor be less than 7%. Usury limit for

individuals is 12%, there is no limit for corporations. (As warned,

you cannot evade the limit by forming a corporation when the loan is

actually to an individual.)

MAINE, the legal rate of interest is 6%. Judgments below $ 30,000

bear 15%, otherwise they bear interest at the 52 week average

discount rate for T-Bills, plus 4%.

MARYLAND, the legal rate of interest is 6%; the general usury limit

is 24%. There are many nuances and exceptions to this law. Judgments

bear interest at the rate of 10%.

MASSACHUSETTS, the legal rate of interest is 6%; the general usury

rate is 20%. Judgments bear interest at either 12% or 18% depending

on whether the court finds that a defense was frivolous.

MICHIGAN, the legal rate of interest is 5%; the general usury limit

is 7%. Judgments bear interest at the rate of 1% above the five year

T-note rate.

MINNESOTA, the legal rate of interest is 6%. The judgment rate is the

"secondary market yield" for one year T-Bills. Usury limit is 8%.

MISSISSIPPI, the legal rate of interest is 9%; the general usury

limit is more than 10%, or more than 5% above the federal reserve

rate. There is no usury limit on commercial loans above $ 5,000. The

judgment rate is 9% or a rate legally agreed upon in the underlying

obligation.

MISSOURI, the legal and judgment rate of interest is 9%.

Corporations do not have a usury defense. (Remember that a

corporation set up for the purpose of loaning money to an individual

will violate the usury laws.)

MONTANA, the legal rate of interest is 10%; the general usury limit

is above 6% greater than New York City banks' prime rate. Judgments

bear interest at the rate of 10% per annum.

NEBRASKA, the legal rate of interest is 6%; the general usury limit

is 16%. Accounts bear interest at the rate of 12%. Judgments bear

interest at the rate of 1% above a bond yield equivalent to T-bill

auction price.

NEVADA, the legal rate of interest is 12%; there is no usury limit.

NEW HAMPSHIRE, the legal rate of interest is 10%; there is no general

usury rate.

NEW JERSEY, the legal rate of interest is 6%; the general usury limit

is 30% for individuals, 50% for corporations. There are a number of

exceptions to this law.

NEW MEXICO, the legal rate of interest is 15%. Judgment rate is fixed

by the Court.

NEW YORK, the legal rate of interest is 9%; the general usury limit

is 16%.

NORTH CAROLINA, the legal interest rate and the general usury limit

is 8%. However, there is a provision for a variable rate, which is

16% or the T-Bill rate for non-competitive T-Bills. Above $ 25,000

there is no express limit. However, the law providing for 8% is still

on the books- be careful and see a lawyer!

NORTH DAKOTA, the legal rate of interest is 6%; the general usury

limit is 5 1/2% above the six-month treasury bill interest rate. The

judgment rate is the contract rate or 12%, whichever is less. A late

payment charge of 1 3/4% per month may be charged to commercial

accounts that are overdue provided that the charge is revealed prior

to the account being opened and that the terms were less than thirty

days, that is, that the account terms were net 30 or less.

OKLAHOMA, the legal rate of interest is 6%. Consumer loans may not

exceed 10% unless the person is licensed to make consumer loans.

Maximum rate on non-consumer loans is 45%. The judgment rate is the

T-Bill rate plus 4%.

OREGON, the legal rate is 9%, the judgment rate is 9% or the contract

rate, if lawful, whichever is higher. The general usury rate for

loans below $ 50,000 is 12% or 5% above the discount rate for

commercial paper.

PENNSYLVANIA, the legal rate of interest is 6%, and this is the

general usury limit for loans below $ 50,000, except for: loans with

a lien on non-residential real estate; loans to corporations; loans

that have no collateral above $ 35,000. Judgments bear interest at

the legal rate. It is criminal usury to charge more than 25%.

PUERTO RICO, the legal rate of interest is 6%; all other rates are

set by the Finance Board of Office of Commissioner of Financial

Institutions. Judgments bear interest at the same rate as the

underlying debt.

RHODE ISLAND, the legal rate of interest and judgment rate is 12%.

The general usury limit is 21% or the interest rate charged for T-

Bills plus 9%.

SOUTH CAROLINA, the legal rate of interest is 8.75%, and judgments

bear interest at the rate of 14%. Subject to federal criminal laws

against loan sharking there is no general usury limit for non-

consumer transactions. The South Carolina Consumer Protection code

provides regulations for maximum rates of interest for consumer

transactions. Please consult with counsel for the latest rates.

SOUTH DAKOTA, the legal rate of interest is 15%, judgments bear

interest at the rate of 12%. There is no other usury limit. There are

certain limitations on consumer loans below $ 5,000.00.

TENNESSEE, the legal rate and judgment rate of interest is 10%. The

general usury limit is 24%, or four points above the average prime

loan rate, WHICHEVER IS LESS.

TEXAS, the legal rate of interest is 6%. Interest does not begin

until 30 days after an account was due. The judgment rate of interest

is 18% or the rate in the contract, whichever is less. There are a

number of specific ceilings for different types of loans, please see

counsel for information.

UTAH, the legal rate of interest is 10%. Judgments bear interest at

the rate of 12%, or a lawfully agreed upon rate. There are floating

rates prescribed for consumer transactions. Please see counsel for

information.

VERMONT, the legal rate of interest and judgment rate of interest is

12%. On retail installment contracts the maximum rate is 18% on the

first $ 500, 15% above $ 500. The general usury limit is 12%.

VIRGINIA, the legal rate of interest is 8%. Judgments bear interest

at the rate of 8%, or the lawful contract rate. Corporations and

business loans do not have a usury limit, and loans over $ 5,000 for

"business" or "investment" purposes are also exempt from usury laws.

Consumer loans are regulated and have multiple rates.

WASHINGTON, the legal rate is 12%. The general usury limit is 12%, or

four points above the average T-Bill rate for the past 26 weeks,

whichever is greater. (The maximum rate is announced by the State

Treasurer.) Judgments bear interest at the rate of 12% or the lawful

contract rate, whichever is higher.

WEST VIRGINIA, the legal rate of interest is 6%. The maximum

"contractual" rate is 8%; Commissioner of Banking issues rates for

real estate loans, and, may establish maximum general usury limit

based on market rates.

WISCONSIN, the legal rate of interest is 5%. There are a myriad of

rates for different type of loans. There is no general usury limit

for corporations. Note that a loan to an individual, even if a

corporation is formed, will violate the law. The judgment rate of

interest is 12%, except for mortgage foreclosures, where the rate

will be the lawful contract rate.

WYOMING, the legal rate and judgment rate of interest is 10%. If a

contract provides for a lesser rate, the judgment rate is the lesser

of 10% and the contract rate.

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