like 32-38%?
2006-07-11 02:53:37 · 11 answers · asked by Anonymous in Business & Finance ➔ Corporations
Yes, there is a law against outrageous interest rates. The most that can be charged is different depending in which state the loan is made. An example of this is that if you live in one state and have credit card in two different states their maximum interest rate may be different.
The jury is still out for the pay day loan companies. Some courts have determined that they cannot charge the outragesous interest rates. It is best to stay away from them.
2006-07-11 02:58:14 · answer #1 · answered by soar 3 · 2⤊ 0⤋
The only ones that I know that don't charge interest rates are ones that will charge huge fees that include the interest in them. Some stores make offers such as 90 days same as cash or 1 year no interest the ketch though is if you don't pay these loans off within the time frame the interest is proactive back to the day of the loan.
2016-03-27 01:00:36 · answer #2 · answered by Anonymous · 0⤊ 0⤋
There is no law against charging interest rates that high. Now it is illegal to charge a different rate than what was given to you when you signed to loan documents.
2006-07-11 02:57:34 · answer #3 · answered by thunder2sys 7 · 0⤊ 0⤋
It depends on the state. There's a listing of the states and their max interest rates here: http://www.lectlaw.com/files/ban02.htm
This is the rate at which an individual or a corporation can lend at.
Banks have different limit because you need a license to lend money at those higher rates. It's usually tied to the discount rate set by the Fed.
2006-07-11 04:31:21 · answer #4 · answered by Arbitrage 7 · 0⤊ 0⤋
Generally it is the states that set the interest for the type of loan. Some states like New Jersey allow credit cards to much leeway.
2006-07-11 03:38:20 · answer #5 · answered by Ibredd 7 · 0⤊ 0⤋
Yes, I believe there is. The most anyone, includung loan sharks, can charge is 25% interest. Check with your local better business bureau. Find another loan company and drop the one you're with.
2006-07-11 02:58:26 · answer #6 · answered by the sealer 3 · 0⤊ 0⤋
I don't think so. Some easy-loan companies have charged at least 20 percent or more that I know of.
2006-07-11 02:56:35 · answer #7 · answered by merlin_steele 6 · 0⤊ 0⤋
There are credit acts that deem that companies must treat all parties equally. Ask someone you know to call and get a rate and see what rate they are given. If you still have concerns, you can raise them with the management.
2006-07-11 02:58:29 · answer #8 · answered by Lisa 5 · 0⤊ 0⤋
Absolutely not. Those payday loan places charge even more than what you have listed.
2006-07-11 02:57:53 · answer #9 · answered by AlphaFemale 5 · 0⤊ 0⤋
it's called extortion....and loan sharks can't do it but banks can
2006-07-11 03:03:03 · answer #10 · answered by Clyde 5 · 0⤊ 0⤋