Subsection 2: Usury rates

The average effective rates that have been charged during a calendar quarter by credit institutions for categories of transactions of the same nature involving similar risks, mentioned in article L. 314-6, are calculated by the Banque de France. The Minister for the Economy publishes these rates and the corresponding usury thresholds in the Official Journal of the French Republic, to be used as a reference for the following quarter; if…

Every quarter, the Banque de France conducts a survey of euro-denominated loans to collect from credit institutions the data needed to calculate average effective rates. This calculation is based on a simple arithmetic average of the overall effective rates observed. Loans whose rates are regulated, administered or subsidised by the State are not taken into account. As far as companies are concerned, loans are not taken into account for the…

Lenders must inform borrowers of the usury thresholds corresponding to the loans they offer. Credit institutions shall make this information available to their customers in the same way as for the general banking conditions referred to in article R. 312-1 of the Monetary and Financial Code.