Can not exceed the bank interest, the Supreme People's Court "Some Opinions on the People's Courts in the Case of Private Lending Cases" stipulates that the interest rate of private lending may be higher than the bank's interest rate, but the maximum shall not exceed the bank's similarity.Lending rates
And the People’s Bank announcedAnnual interest rate
It is about 6%, which means that the interest rate of private lending cannot exceed 25% of the annual interest rate, and the excess is not protected by law.
In judicial practice, most of the interest rates agreed by private lending exceed this requirement, so many borrowers deliberately owe money and do not pay back, waiting for the lender to sue and even ask the lender to sue, because through litigation, the interest rate they bear Can't exceed four times the bank. This malicious debt and circumvention of the law not only increases the costs of the parties, but also wastes effective judicial resources.