Changes

==In modern times==

==In modern times==

In the United States, most states have usury laws limiting interest rates. This area of law is complex, particularly since, during the period of high inflation in the 1970s, the Federal government passed a law exempting national banks from state usury laws.  

In the United States, most states have usury laws limiting interest rates. This area of law is complex, particularly since, during the period of high inflation in the 1970s, the Federal government passed a law exempting national banks from state usury laws. Every state has its own usury law setting a maximum rate of interest that may be lawfully charged.<ref>http://www.lectlaw.com/files/ban02.htm</ref>

In many states, such as New Jersey, the "legal rate of interest" is 6%, but this only applies to rare situations and certainly does not mean that home mortgages at higher rates, or credit card finance charges (often as high as 18%), are illegal.

In many states the "legal rate of interest" may be 6%, but this only applies to rare situations and certainly does not mean that home mortgages at higher rates, or credit card finance charges (often as high as 18%, and even higher for dealings between companies), are illegal.

[[Category:Law]]

[[Category:Law]]