What is the legal interest rate for private lending?

The law stipulates that the interest rate for private lending shall not exceed four times the one-year loan market quotation rate at the time the contract is established, and the latest one-year loan market quotation rate The interest rate is 3.85, and four times the interest rate is 15.4, which means it is legal not to exceed 15.4.

Legal interest rates on private loans:

1. If the annual interest rate does not exceed 24%, it is legal and valid. If the interest rate agreed upon by both parties does not exceed 24% of the annual interest rate, if the lender requests the borrower to pay interest according to the agreed interest rate, the people shall support it.

2. If the annual interest rate is more than 24% and less than 36%, it shall be based on the wishes of the parties. Private loans with an annual interest rate of 24 to 36 are natural debts and will not be protected if a lawsuit is filed. However, the parties concerned are willing to perform automatically and have no objection. The borrower cannot demand the return of the interest already paid.

3. If the annual interest rate exceeds 36%, it is partially invalid. The interest rate agreed upon by both parties exceeds the annual interest rate of 36, and the excess interest agreement is invalid. If the borrower requests the lender to return the interest that has been paid in excess of 36% of the annual interest rate, the people shall support it.

The legal interest agreement is based on the provisions of Article 26, Paragraph 1 of the "Supreme People's Provisions on Several Issues Concerning the Application of Law in the Trial of Private Lending Cases": The interest rate agreed upon by the borrower and the lender does not exceed the annual interest rate of 24, the lender The people should support the request of the borrower to pay interest according to the agreed interest rate. If the interest rate agreed between the borrower and the borrower exceeds the annual interest rate by 36%, the interest agreement for the excess amount is invalid. If the borrower requests the lender to return the interest that has been paid in excess of 36% of the annual interest rate, the people shall support it.

Legal basis: "Provisions of the Supreme People's Court on Several Issues Concerning the Application of Law in the Trial of Private Lending Cases"

Article 9 If a loan contract between natural persons falls under any of the following circumstances, it may be deemed For the establishment of the contract:

(1) If the payment is made in cash, when the borrower receives the loan:

(2) If the payment is made in the form of bank transfer, online electronic remittance, etc. When the funds arrive in the borrower's account:

(3) If it is delivered by bill, when the borrower obtains the rights to the bill in accordance with the law:

What is the legal loan interest rate

The people should support private loans with monthly interest rates between 2 and 3, and annual interest rates between 24 and 36. The monthly interest rate for private loans does not exceed 2. For example, the maximum monthly interest rate for 100,000 yuan is 2,000 yuan, which is legal interest and is protected by law. The monthly interest rate of private loans is between 2 and 3, and the annual interest rate is between 24 and 36. The premise is that the borrower pays it voluntarily, which is also legal interest and protected by law. The above two situations are relatively legal.

Our country has divided loan interest rates. Generally, the annual interest rate does not exceed 24 hours, which belongs to the judicial protection zone. The borrowing interest rate is within this range. The borrower cannot refuse to repay the principal and interest of the loan for any reason, otherwise the national court will It will force the borrower to pay off the debt. When the annual interest rate of a loan is between 24 and 36, it belongs to the voluntary negotiation zone. This interest rate range is common in private loans and is mainly the loan interest rate voluntarily recognized by both borrowers and lenders. If the borrower does not repay this part of the interest, the lender will go to court. , the court will not force the borrower to repay this part of the interest.

According to Article 26 of the "Regulations of the Supreme People's Court on Several Issues Concerning the Application of Law in the Trial of Private Lending Cases", if the interest rate agreed between the borrower and the borrower does not exceed the annual interest rate of 24, the lender requests the borrower to pay the borrower at the agreed interest rate. The people should support the payment of interest. If the interest rate agreed upon by both parties exceeds the annual interest rate of 36, the excess interest agreement is invalid. If the borrower requests the lender to return the interest that has been paid in excess of 36% of the annual interest rate, the people shall support it.

How much loan interest is legal?

How much loan interest is legal

As long as the loan interest does not exceed 36, it is legal. If the annual interest rate agreed between the borrower and the lender is lower than 24, and the creditor requires the debtor to pay interest at the agreed interest rate, the people should support it.

If it exceeds 36, the interest agreement for the excess part is invalid. If the debtor requests the return of the interest that has been paid for more than 36 years, it should be supported. There are no regulations for the parts above 24 and below 36.

Relevant regulations:

Article 26 of the "Regulations of the Supreme People's Court on Several Issues Concerning the Application of Law in the Trial of Private Lending Cases", the interest rate agreed by the borrower and the borrower does not exceed the annual interest rate of 24, and the loan If a person requests the borrower to pay interest according to the agreed interest rate, the people shall support it. If the interest rate agreed upon by both parties exceeds the annual interest rate of 36, the excess interest agreement is invalid. If the borrower requests the lender to return the interest that has been paid in excess of 36% of the annual interest rate, the people shall support it.