Can not exceed the amount of bank interest, the Supreme People's Court "Several Opinions of the People's Court on Trial of Non-government Lending Cases" stipulates that the interest rate of private lending may be appropriately higher than the bank interest rate, but the maximum interest rate may not exceed that of banksLending rates
The People's Bank announcedAnnual interest rate
Is about 6%, which means that the interest rate of private lending can not exceed 25% of the annual interest rate, the excess is not protected by law.
In judicial practice, most of the interest rates agreed by private lending have exceeded this requirement, so many borrowers deliberately owe money not to wait, waiting for the lender to sue and even take the initiative to require the lender to sue, because through the lawsuit, they bear the interest rate on Can not exceed four times the bank. This malicious debt and law-abiding behavior not only increases litigants' costs but also wastes effective judicial resources.