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GEORGIA CODE (Last Updated: August 20, 2013) |
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Title 7. BANKING AND FINANCE |
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Chapter 4. INTEREST AND USURY |
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Article 1. IN GENERAL |
| § 7-4-1. "Usury" defined |
| § 7-4-2. Legal rate of interest; maximum rate of interest generally |
| § 7-4-3. Finance charge on retail installment contracts for manufactured homes and motor vehicles subject to federal law; stating of federal provisions in contract |
| § 7-4-3.1. Maximum interest rate on loans by insured financial institutions |
| § 7-4-4. Advertisement of rates of interest or finance charge |
| § 7-4-5. Failure to include federal loan act provisions in retail installment loan; violating advertising restrictions |
| § 7-4-6. No limit on interest rate payable by profit corporations or persons on nonconsumer loans in excess of $3,000.00 |
| § 7-4-7. No limit on interest rate on loans of $100,000.00 or more |
| § 7-4-8. Commission to third person does not make lawful interest usurious |
| § 7-4-9. Back interest may be stipulated in contract and recovered |
| § 7-4-10. Usury forfeits entire interest; right of setoff; how forfeiture discharged; when time bars action or defense |
| § 7-4-11. Usury is personal defense; no collection from insolvent to prejudice of others |
| § 7-4-12. Interest on judgments |
| § 7-4-12.1. Interest on arrearage on child support |
| § 7-4-13. Law of place of contract governs interest unless otherwise provided |
| § 7-4-14. Interest runs from default unless otherwise agreed; when demand necessary |
| § 7-4-15. When interest runs on liquidated demands; promissory notes payable on demand |
| § 7-4-16. When interest runs on commercial accounts; maximum interest rate on commercial accounts |
| § 7-4-17. Payment applied first to interest; no interest on unpaid interest; exceptions |
| § 7-4-17.1. Refunds from loans on which interest is calculated under the add-on interest method and which are paid off prior to maturity |
| § 7-4-18. Criminal penalty for excessive interest |
| § 7-4-19. Civil action to enforce chapter |
| § 7-4-20. Election to forgo application of federal usury laws |
| § 7-4-21. Class action barred on claims for violation of interest laws on loans secured by real estate |
REFS & ANNOS
TITLE 7 Chapter 4 Article 1 NOTE
LAW REVIEWS. --For article, "Small Loans Under Georgia Laws," see 3 Mercer L. Rev. 227 (1952).
For note, "Price-Fixing in Georgia," see 3 Mercer L. Rev. 314 (1952).
For comment discussing the acceleration of a loan repayment to collect unearned interest as violative of the Georgia Industrial Loan Act (Ch. 3, T. 7), in light of Lewis v. Termplan, Inc., 124 Ga. App. 507, 184 S.E.2d 473 (1971), see 9 Ga. St. B.J. 380 (1973).
JUDICIAL DECISIONS
DOCTRINE OF ESTOPPEL applies where usurious note was prepared by borrower and presented to unwary lender. Eiberger v. West, 247 Ga. 767, 281 S.E.2d 148 (1981).
CITED in Spartan Grain & Mill Co. v. Ayers, 517 F.2d 214 (5th Cir. 1975); Scheil v. Georgia Fed. Sav. & Loan Ass'n, 154 Ga. App. 714, 269 S.E.2d 881 (1980).
RESEARCH REFERENCES
ALR. --Effect on indebtedness originally valid of usurious forbearance, renewal, or extension, 3 ALR 877.
Annual rests on book accounts, 5 ALR 551.
Negotiable instruments law as affecting defense of usury, 5 ALR 1447; 95 ALR 735.
Waiver of usury by renewal or other executory agreement, 13 ALR 1213; 74 ALR 1184.
Payment of or offer to pay principal and legal interest as condition of relief in equity against usurious contract, 17 ALR 123; 70 ALR 693; 135 ALR 808; 166 ALR 458.
Right to interest for period before advances under a loan to be advanced to the borrower in installments, 40 ALR 825.
Rate of interest chargeable against guardians, executors or administrators, and trustees, 55 ALR 950; 112 ALR 833; 156 ALR 936.
Usury: expenses or charges (including taxes) incident to loan of money, 63 ALR 823; 105 ALR 795; 52 ALR2d 703.
Right of holder of preferred claim to interest after appointment of receiver or declared bankruptcy or insolvency, where assets are insufficient to pay principal of all claims, 69 ALR 1210.
Usurious loan agreement as affecting collateral transaction or instrument not otherwise usurious, 75 ALR 1344.
Statutes in relation to interest as obnoxious to constitutional provision against impairing obligation of contracts, 87 ALR 462.
Obligations covering deferred payments of purchase money, or extension thereof, as loan or forbearance within usury laws, 91 ALR 1105.
Judgment as res judicata of usury notwithstanding question as to usury was not raised, 98 ALR 1027.
Validity, construction, and effect of express agreement releasing cause of action or defense based on exaction of usury, 99 ALR 600.
What amounts to sale of credit as distinguished from a loan as regards usury law, 104 ALR 245.
Parol evidence rule as affecting extrinsic evidence to show or to negative usury, 104 ALR 1261.
Validity and effect of provision in contract disclaiming usurious intention, or otherwise attempting in anticipation to have the contract interpreted or modified so as to avoid imputation of usury, 109 ALR 1471.
Right to equitable relief from usury as affected by laches, 111 ALR 126.
Usury as affected by provision for sinking fund, 119 ALR 1490.
Right of junior mortgagee to attack senior mortgage for usury, 121 ALR 879.
Usury as affected by repayment, or borrower's option to repay, loan before maturity, 130 ALR 73; 75 ALR2d 1265.
Campaign or concerted action in interest of public by bar association or other group against usurious or illegal practices, or for the investigation of business or other activities with which such practices may be associated, 132 ALR 1177.
Who other than borrower may avail himself of latter's right to recover back usurious payments or penalties therefor, 134 ALR 1335.
Payment of or offer to pay principal and legal interest as condition of relief in equity against usurious contract, 135 ALR 808; 166 ALR 458.
Constitutionality, construction, and application of statutes regarding rate of interest during "emergency,", 147 ALR 1023.
Usury as predicable upon transaction in form a sale or exchange of commercial paper or other choses in action, 165 ALR 626.
Construction and application of provision of "small loan" statute against payment of interest in advance, 166 ALR 433.
Rate of interest after maturity on obligation which fixes rate of interest expressly until maturity, 16 ALR2d 902.
What statute of limitations governs action or claim for affirmative relief against usurious obligation or to recover usurious payment, 48 ALR2d 401.
Quantum, degree, or weight of evidence to sustain usury charge, 51 ALR2d 1087.
Usury: expenses or charges (including taxes) incident to loan of money, 52 ALR2d 703.
Usury as affected by repayment of, or borrower's option to repay, loan before maturity, 75 ALR2d 1265.
Usury: requiring borrower to pay for insurance as condition of loan, 91 ALR2d 1344.
Usury: charging borrower for or with expense or trouble of procuring money loaned, 91 ALR2d 1389.
Advance in price for credit sale as compared with cash sale as usury, 14 ALR3d 1065.
Agreement for share in earnings of or income from property in lieu of, or in addition to, interest as usurious, 16 ALR3d 475.
Borrower's initiation of, or fraud contributing to, usurious transaction as affecting rights or remedies of the parties, 16 ALR3d 510.
Usury as affected by acceleration clause, 66 ALR3d 650.
Contingency as to borrower's receipt of money or other property from which loan is to be repaid as rendering loan usurious, 92 ALR3d 623.
Leaving part of loan on deposit with lender as usury, 92 ALR3d 769.
Prejudgment interest awards in divorce cases, 62 ALR4th 156.
For note, "Price-Fixing in Georgia," see 3 Mercer L. Rev. 314 (1952).
For comment discussing the acceleration of a loan repayment to collect unearned interest as violative of the Georgia Industrial Loan Act (Ch. 3, T. 7), in light of Lewis v. Termplan, Inc., 124 Ga. App. 507, 184 S.E.2d 473 (1971), see 9 Ga. St. B.J. 380 (1973).
JUDICIAL DECISIONS
DOCTRINE OF ESTOPPEL applies where usurious note was prepared by borrower and presented to unwary lender. Eiberger v. West, 247 Ga. 767, 281 S.E.2d 148 (1981).
CITED in Spartan Grain & Mill Co. v. Ayers, 517 F.2d 214 (5th Cir. 1975); Scheil v. Georgia Fed. Sav. & Loan Ass'n, 154 Ga. App. 714, 269 S.E.2d 881 (1980).
RESEARCH REFERENCES
ALR. --Effect on indebtedness originally valid of usurious forbearance, renewal, or extension, 3 ALR 877.
Annual rests on book accounts, 5 ALR 551.
Negotiable instruments law as affecting defense of usury, 5 ALR 1447; 95 ALR 735.
Waiver of usury by renewal or other executory agreement, 13 ALR 1213; 74 ALR 1184.
Payment of or offer to pay principal and legal interest as condition of relief in equity against usurious contract, 17 ALR 123; 70 ALR 693; 135 ALR 808; 166 ALR 458.
Right to interest for period before advances under a loan to be advanced to the borrower in installments, 40 ALR 825.
Rate of interest chargeable against guardians, executors or administrators, and trustees, 55 ALR 950; 112 ALR 833; 156 ALR 936.
Usury: expenses or charges (including taxes) incident to loan of money, 63 ALR 823; 105 ALR 795; 52 ALR2d 703.
Right of holder of preferred claim to interest after appointment of receiver or declared bankruptcy or insolvency, where assets are insufficient to pay principal of all claims, 69 ALR 1210.
Usurious loan agreement as affecting collateral transaction or instrument not otherwise usurious, 75 ALR 1344.
Statutes in relation to interest as obnoxious to constitutional provision against impairing obligation of contracts, 87 ALR 462.
Obligations covering deferred payments of purchase money, or extension thereof, as loan or forbearance within usury laws, 91 ALR 1105.
Judgment as res judicata of usury notwithstanding question as to usury was not raised, 98 ALR 1027.
Validity, construction, and effect of express agreement releasing cause of action or defense based on exaction of usury, 99 ALR 600.
What amounts to sale of credit as distinguished from a loan as regards usury law, 104 ALR 245.
Parol evidence rule as affecting extrinsic evidence to show or to negative usury, 104 ALR 1261.
Validity and effect of provision in contract disclaiming usurious intention, or otherwise attempting in anticipation to have the contract interpreted or modified so as to avoid imputation of usury, 109 ALR 1471.
Right to equitable relief from usury as affected by laches, 111 ALR 126.
Usury as affected by provision for sinking fund, 119 ALR 1490.
Right of junior mortgagee to attack senior mortgage for usury, 121 ALR 879.
Usury as affected by repayment, or borrower's option to repay, loan before maturity, 130 ALR 73; 75 ALR2d 1265.
Campaign or concerted action in interest of public by bar association or other group against usurious or illegal practices, or for the investigation of business or other activities with which such practices may be associated, 132 ALR 1177.
Who other than borrower may avail himself of latter's right to recover back usurious payments or penalties therefor, 134 ALR 1335.
Payment of or offer to pay principal and legal interest as condition of relief in equity against usurious contract, 135 ALR 808; 166 ALR 458.
Constitutionality, construction, and application of statutes regarding rate of interest during "emergency,", 147 ALR 1023.
Usury as predicable upon transaction in form a sale or exchange of commercial paper or other choses in action, 165 ALR 626.
Construction and application of provision of "small loan" statute against payment of interest in advance, 166 ALR 433.
Rate of interest after maturity on obligation which fixes rate of interest expressly until maturity, 16 ALR2d 902.
What statute of limitations governs action or claim for affirmative relief against usurious obligation or to recover usurious payment, 48 ALR2d 401.
Quantum, degree, or weight of evidence to sustain usury charge, 51 ALR2d 1087.
Usury: expenses or charges (including taxes) incident to loan of money, 52 ALR2d 703.
Usury as affected by repayment of, or borrower's option to repay, loan before maturity, 75 ALR2d 1265.
Usury: requiring borrower to pay for insurance as condition of loan, 91 ALR2d 1344.
Usury: charging borrower for or with expense or trouble of procuring money loaned, 91 ALR2d 1389.
Advance in price for credit sale as compared with cash sale as usury, 14 ALR3d 1065.
Agreement for share in earnings of or income from property in lieu of, or in addition to, interest as usurious, 16 ALR3d 475.
Borrower's initiation of, or fraud contributing to, usurious transaction as affecting rights or remedies of the parties, 16 ALR3d 510.
Usury as affected by acceleration clause, 66 ALR3d 650.
Contingency as to borrower's receipt of money or other property from which loan is to be repaid as rendering loan usurious, 92 ALR3d 623.
Leaving part of loan on deposit with lender as usury, 92 ALR3d 769.
Prejudgment interest awards in divorce cases, 62 ALR4th 156.