# Limit on Interest Rates
**URL:** https://boards.straightdope.com/t/limit-on-interest-rates/82440
**Category:** Factual Questions
**Created:** [September 18, 2001, 7:29pm UTC](https://boards.straightdope.com/t/limit-on-interest-rates/82440 "2001-09-18T19:29:18Z")
**Posts on this page:** 6
**Page:** 1
### Author:  [@qnwa01](https://boards.straightdope.com/u/qnwa01)
#### Post date: [September 18, 2001, 7:29pm UTC](https://boards.straightdope.com/t/limit-on-interest-rates/82440/1 "2001-09-18T19:29:18Z")
What is the legal limit on interest rates? My daughter was charged up to 28% last month by a bank.
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### Author:  [@Random](https://boards.straightdope.com/u/Random)
#### Post date: [September 18, 2001, 8:09pm UTC](https://boards.straightdope.com/t/limit-on-interest-rates/82440/2 "2001-09-18T20:09:51Z")
What state? What kind of loan or indebtedness? A meaningful answer to your question is impossible without this information. There is no nationwide limit on interest rates which applies to all situations.
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### Author:  [@qnwa01](https://boards.straightdope.com/u/qnwa01)
#### Post date: [September 18, 2001, 8:24pm UTC](https://boards.straightdope.com/t/limit-on-interest-rates/82440/3 "2001-09-18T20:24:14Z")
State of Colorado. This is an unsecured bank loan with an interest rate that floats. In the past two years it has floated monthly between 25.8% and 28.6%.
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### Author:  [@Cerowyn](https://boards.straightdope.com/u/Cerowyn)
#### Post date: [September 18, 2001, 9:06pm UTC](https://boards.straightdope.com/t/limit-on-interest-rates/82440/4 "2001-09-18T21:06:59Z")
In Ontario, Canada, usuary (an illegal interest rate), IIRC, is 60% per annum. Commercial loans are not subject to this limit, as commercial short term leases are often much higher.
I suspect that you’ll find your local legislation is similar.
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### Author:  [@Random](https://boards.straightdope.com/u/Random)
#### Post date: [September 18, 2001, 9:45pm UTC](https://boards.straightdope.com/t/limit-on-interest-rates/82440/5 "2001-09-18T21:45:25Z")
See [http://64.78.178.125/cgi-dos/statdspp.exe?W&srch='usury'&i=0&cat=FFFFFFFFFFF800&r=10&s=8570&cr=6](http://64.78.178.125/cgi-dos/statdspp.exe?W&srch=%27usury%27&i=0&cat=FFFFFFFFFFF800&r=10&s=8570&cr=6)
Limits in Colorado apparently range from 12% - 36%, depending on the type and size of (consumer) loan.
I didn’t do an exhaustive search, and am not a Colorado attorney. If you want to pursue this further, go to [http://www.findlaw.com](http://www.findlaw.com), find Colorado statutes, and search for the word “usury”, or see a Colorado attorney.
Usual disclamers here: I am not your lawyer, you are not my client, and nothing here should be construed as legal advice.
Good luck.
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### Author:  [@Random](https://boards.straightdope.com/u/Random)
#### Post date: [September 18, 2001, 9:47pm UTC](https://boards.straightdope.com/t/limit-on-interest-rates/82440/6 "2001-09-18T21:47:05Z")
There may also be exceptions to these limits. There often are. Keep that in mind when looking into this.