State ________ laws set a(n)________ limit on the annual interest rate that can be charged on certain types of loans.
A) pecuniary; upper
B) pecuniary; lower
C) usury; upper
D) usury; lower
E) usury; sliding-scale

Question

Quizplus · Accepted Answer

Usury laws set an upper limit on the annual interest rate that can be charged on certain types of loans. Pecuniary laws relate to financial matters in general and do not specifically deal with interest rate limits. Lower limits do not typically exist for interest rates on loans, as they are set to prevent excessive or predatory lending practices. Sliding-scale limits do not typically exist for interest rates on loans either, as they would be difficult to enforce and could potentially lead to confusion or fairness issues.

State ________ Laws Set A(n)________ Limit on the Annual Interest

State Laws Set A(n) Limit on the Annual Interest