Legal analysis
According to the relevant laws and regulations, in interest-bearing loans, the interest rate can be appropriately higher than the bank's interest rate, but it must not exceed four times the bank's interest rate of similar loans, that is, usury is not allowed. If the interest rate is more than four times, if there is a dispute between the two parties, the court will not protect the excess interest, but when there is no dispute, higher income can be obtained, so even if the interest exceeds the prescribed amount, there will be no problem. If there is a dispute between the borrower and the borrower on whether there is an agreed interest rate, and it cannot be proved, the interest can be calculated with reference to the bank's similar loan interest rate. If the parties dispute the interest rate standard, they can determine the interest rate standard within the standard of not exceeding 4 times the interest rate of similar loans of banks. The lender shall not include the interest in the principal to calculate compound interest, otherwise it will not be protected by law. This provision is punitive in judicial practice. If you violate this provision, you may be sentenced by the court to pay interest according to the loan interest rate for the same period. Then, the multiple you agreed at the beginning may be claimed or unclaimed. If there is a dispute between the parties over the borrowing of foreign currency or Taiwan dollar, and the lender requests repayment in the same currency, it may be allowed. If the borrower does not have the same currency, he can repay it in RMB with reference to the foreign exchange rate at the time of repayment. If the lender requests to pay interest, it may calculate the interest with reference to the foreign currency savings rate of China Bank.
legal ground
Article 680 of the Civil Code of People's Republic of China (PRC) prohibits high-interest lending, and the lending rate 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 payment method of interest, 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 interest-free.