A private nonexempt California lender makes a personal-purpose loan that is not arranged by a licensed real estate broker and no regulated-lender exemption applies. What Article XV usury ceiling generally applies?
Correct Answer
B) 10% per year
For loans used primarily for personal, family, or household purposes, California Article XV generally sets a 10% annual ceiling unless an exemption applies. The legacy item incorrectly mixed CFL and constitutional usury concepts.
Why This Is the Correct Answer
For loans used primarily for personal, family, or household purposes, California Article XV generally sets a 10% annual ceiling unless an exemption applies. The legacy item incorrectly mixed CFL and constitutional usury concepts.
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