Moreover, for example, the annual interest rate of bank loans will generally rise by 10% to 30% compared with the benchmark interest rate of loans issued by the central bank, so most of them will be around 5% to 6%. The annual interest rate of 7.2% is only a little higher than the bank's loan interest rate and does not exceed 10%, so it is not particularly high.
In addition, the annual interest rate of 7.2% is far from the standard of usury. According to the national regulations, the interest rate within 24% agreed by both borrowers and lenders is legal and should be supported by the people's court; And more than 36% is invalid and not protected by law.
1. What is the annual interest rate? Interest rate is also called interest rate. Represents the ratio of interest amount to principal in a certain period, usually expressed as a percentage, and calculated according to the year of liquidation, which is called annual interest rate. Its calculation formula is: interest rate = interest amount ÷ principal ÷ time×100% interest, which, in its form, is the reward that the monetary owner gets from the borrower for issuing monetary funds; On the other hand, it is the price that the borrower must pay for using monetary funds. Interest is essentially a part of profit and a special form of profit transformation.
Second, it is illegal for usury interest rates to be higher.
Because usury is the act of lending money to others and then asking for extremely high interest.
1. What is the interest of usury?
At present, China's laws stipulate that the maximum interest of private lending should not exceed 24%, and the people's courts that exceed 24% to 36% will not support it, and the interest that exceeds 36% is invalid. Those who exceed the above standards should be defined as high-interest loans. In other words, the interest rate of usury depends on personal transactions, otherwise it does not constitute usury.