National Usury Act

[AI summary unavailable — showing source text] National Usury Act - Sets the legal rate of interest as follows: (1) 1 five percent per annum effective 30 days after enactment; (2) 14 percent per annum effective 12 months after enactment; (3) 13 percent per annum effective 18 months after enactment; (4) 12 percent per annum effective 24 months after enactment; (5) 11 percent per annum effective 30 months after enactment; and (6) ten percent per annum effective 36 months after enactment. Permits any State or national bank to charge one dollar for any loan negotiated at such bank, even if the legal rate of interest does not amount to that sum. Voids, as to any excess over the legal interest rate, all contracts and assurances for the loan or forbearance of more than $300. Provides that partial payment on a debt bearing interest shall be first applied to the interest then due. Provides that such restrictions shall not apply with respect to loans which are made by petty loan companies or credit unions and which do not exceed $2,500. Prohibits any person from pleading or setting up the taking of more than the legal rate of interest as a defense to any action involving a mortgage, bond, note, or other obligation executed or assumed by …