Asked by Bethany Allen on Jul 13, 2024
Verified
Which of the following occurs when a party gives a loan at an interest rate exceeding the legal maximum?
A) An implied-in-law contract
B) Interest prohibition
C) Principal reduction
D) Usury
E) Plenary
Usury
The lending of money at an exorbitant or unlawful rate of interest.
- Comprehend the duties and aims of professional licensing statutes and their repercussions on contract arrangements.
Verified Answer
RM
Rayah MoniqueJul 19, 2024
Final Answer :
D
Explanation :
Statutes prohibiting usury exist in nearly every state.Usury occurs when a party gives a loan at an interest rate exceeding the legal maximum.
Learning Objectives
- Comprehend the duties and aims of professional licensing statutes and their repercussions on contract arrangements.