What is usury?

Usury is a type of banking law that prohibits banks from charging high interest rates on certain types of loans and other financial transactions. In particular, it prohibits banks from charging an excessive rate of interest in exchange for money loaned. Usury laws are established in order to protect borrowers from predatory lenders. In Oklahoma, the legal usury rate is 16% per annum, or 1.333% per month, on all loans and other transactions. This means that lenders may not charge more than 16% in interest for loans and other financial transactions in the state of Oklahoma. Any lender that does so is subject to legal action from borrowers. Usury laws are put in place to protect consumers from predatory lenders, so it is important to be aware of the usury laws in Oklahoma before taking out any type of loan.

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