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"An interest rate of more than 25 percent should be considered as loan sharking. That is the practice of loaning out money, just to charge a lot to get it back."

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Q: What interest rate would be considered as loan sharking?
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Related questions

What is the highest interest that can charged for a personal loan in California?

For California the usury limit for personal loans is 10%.. and anything greater should only be verbal as not to get caught up, but if it is in writing then it would be against the law and considered loan sharking.

What is the lending of money at an unlawful or very high interest rate?

Usury; loan-sharking.

What can you say about the loan sharking in the Philippines?

Loan sharking is a serious problem in the Philippines. Many people are very poor and are simply unable to pay back the high interest loans made by unscrupulous people.

What is low interest loan?

The loan whose interest rate is low is called low interest loan. If you got a unsecured loan @ low interest rate then it would be low interest loan for you.

Can payday loan interest be reported on your income taxes?

No. Deductible interest includes student loan, investment, and qualified residence interest. Payday loan interest is considered personal interest. Personal interest isn't deductible.

How would you know if a low interest loan is best for you?

You can find out if a low interest loan is right for you by considering your situation. Do you have the money for a significant down payment that will reduce the interest on your overall loan? Where do you plan to be in five years? All things must be considered in this context.

How would a balloon payment effect interest on a loan?

how would a balloon payment effect interest on a loan

How is interest on loans income treated in the books of a bank?

As long as the loan account is under standard category, the interest on such loan is treated as income, as the sub standard loan accounts does not earn interest and hence, the interest on such loans can not be considered as income

What is considered to be a high interest rate on a student loan?

The interest rate on a student loan depends on the year it was established, the type of loan, and the habits of the student paying back the loan. Generally, 6.9% is considered to be in the high range, but lagging behind payments can increase the loan amount up to 14.0+%.

Where can one calculate interest of a loan?

The interest of a loan can be calculated by using the 'Loan Calculator' facility at the Bankrate website. One would need to know details, such as the interest rate and the loan term.

What is an example of an inexpensive loan and a medium price loan and a expensive loan?

An inexpensive loan is one with a 0.12 percent interest rate. A medium price loan would be about a 6.5 percent interest rate. Lastly, an expensive loan would be one with an interest rate of 15 percent or more.

Is money that you loan to someone taxable?

A loan from a family member is considered taxable income. The borrower can deduct a certain amount of the interest paid. The lender will have to pay taxes on any interest earned.