Florida interest rate limits

Pursuant to Florida statutes §687.02, a lender is in violation of the usury laws if the lender charges interest that exceeds 18 percent per annum on loans, lines of credit, advances of money or any obligation of amounts up to $500,000. For amounts that exceed $500,000, the lender cannot charge an interest rate of more than 25 percent.  Loans with an interest rate between 25.01 percent and 45 percent are criminally usurious misdemeanors, while a rate above 45 percent is punishable as a third-degree felony. 

Some agreements are so complex that what is characterized as interest becomes debatable. In some cases, it is difficult to tell whether the agreement is intended as the acquisition of an equity interest in a venture or the issuance of a debt obligation.

Knowing what fees may be interpreted as interest is important to ensure compliance with usury laws. This is because if the court includes certain fees as part of the interest calculation spread over the full term of the loan, this may result in an interest rate that exceeds the legal limits displayed above.