The annual interest rate 19.8% is equivalent to the monthly interest rate 1.65%, and the loan 1 ten thousand yuan. One year's interest is 1980 yuan, and one month's interest is 165 yuan, which is very high interest and needs to be carefully selected.

Article 680 of the Civil Code of People's Republic of China (PRC) prohibits high-interest lending, and the interest rate of borrowing shall not violate the relevant provisions of the state. If there is no agreement on the payment of interest in the loan contract, it shall be deemed that there is no interest. If the loan contract does not specify the method of interest payment, and the parties cannot reach a supplementary agreement, the interest shall be determined according to the local or the parties' trading methods, trading habits, market interest rates and other factors; Loans between natural persons are regarded as having no interest. Article 25 If the lender requests the borrower to pay interest at the interest rate agreed in the contract, the people's court shall support it, except that the interest rate agreed by both parties exceeds four times the quoted interest rate of the one-year loan market at the time of the establishment of the contract.