Usury
Usury: illegally high interest rate. FL: 18% max (Section 687.02: loans $500K or less), 25% criminal threshold (Section 687.071: felony). Civil penalties: double interest + all interest forfeited (Section 687.04). Criminal: 25%+ = 2nd-degree felony (15 years, $10K); 45%+ = 1st-degree. Contract: usurious provision void; principal enforceable. Written authorization: can exceed 18% but not 25%. Federal preemption: banks exempt. Total cost analysis: fees + points = interest.
FL Rates
- 18% max (Section 687.02)
- 25% criminal (Section 687.071)
- Written auth: 18-25% range
Penalties
- Civil: double interest forfeited
- Criminal: felony
- Contract: void provision
Exemptions
- Federal banks preempted
- Credit cards, some mortgages
- Total cost analysis
Related Terms
- Interest Rate — Lending
Barnes Walker Business Law
Barnes Walker’s attorneys handle usury in Florida. Request a legal inquiry for assistance.
Florida Law Reference
Fla. Stat. Ch. 687
Limits the maximum interest rate that may be charged on loans in Florida. The general usury limit is 18% for loans under $500,000 and 25% for loans of $500,000 or more.
Reviewed by the attorneys at Barnes Walker, Goethe, Shea & Robinson, PLLC