Minnesota maximum interest rate is the answer to “maximum interest rate allowed by law in Minnesota”. This guide gives the Minnesota figures in a dated table, explains in plain words what they mean, walks through the steps, and points to the official forms and free help.
The Minnesota maximum interest rate figures on this page were verified against a dated 50-state compilation and Minnesota sources as of October 2026; the statute named here is where to check them yourself.
Minnesota maximum interest rate at a Glance
| Legal rate when no rate is agreed | 6% per year |
| Maximum rate in a written contract | up to 8% per year in a written contract |
| Statute | Minn. Stat. 334.01 |
In This Minnesota maximum interest rate Guide:
What the Minnesota Maximum Interest Rate Means
In Minnesota, usury means charging more interest than state law allows on a loan or other extension of credit. The legal rate only applies when the parties never agreed on a rate. The contract cap is the most that can be charged when the rate is written into a signed agreement.
Many loans fall under separate lending laws with their own limits, so the general cap often does not decide the question.
The Minnesota maximum interest rate Figures
| Rule | Bonus Bank Daily verified figure |
|---|---|
| Legal rate when no rate is agreed | 6% per yearcompilation / agency — verified Oct 2026 |
| Maximum rate in a written contract | up to 8% per year in a written contractcompilation / agency — verified Oct 2026 |
| Statute | Minn. Stat. 334.01compilation / agency — verified Oct 2026 |
The Minnesota maximum interest rate figures on this page were verified against a dated 50-state compilation and Minnesota sources as of October 2026; the statute named here is where to check them yourself.
Who the Minnesota Maximum Interest Rate Applies To
The general cap mainly covers ordinary loans and credit between private parties and unlicensed lenders. It does not apply to written credit of $100,000 or more, and business and farm loans under $100,000 have their own floating cap in Minn. Stat. 334.011. Licensed consumer lenders under Minn. Stat. 47.59, 48.196 or chapter 56 follow their own rules instead.
Since January 1, 2024, consumer small loans and short-term loans have been capped at a 50% all-in APR, and lenders must check whether the borrower can repay any loan above 36% APR (Minn. Stat. 47.60, 47.601).
Credit Cards and the Minnesota Maximum Interest Rate
Credit card rates above the Minnesota cap are usually legal. Federal law lets a national bank charge the interest rate allowed in the state where the bank is based, even when the cardholder lives in Minnesota. Many card issuers are based in states with high or no rate limits, so Minnesota’s cap generally does not reach them. Minnesota-based open-end credit plans are governed separately by Minn. Stat. 334.16.
What Happens When a Lender Breaks the Minnesota Maximum Interest Rate
Under Minn. Stat. 334.03, a usurious contract is generally void, though an innocent buyer of the note may be protected. Under Minn. Stat. 334.02, a borrower who paid usurious interest may sue to recover the full interest paid, plus costs, if the suit is filed within two years of the payment. This recovery rule does not apply to lenders covered by 47.59, 48.196 or chapter 56.
The Department of Commerce has voided loans made by unlicensed short-term lenders. A criminal usury threshold could not be verified. Confirm with the statute, the court clerk or an attorney.
How to Check a Loan Against the Minnesota Maximum Interest Rate
1) Find the loan agreement and look for the annual percentage rate (APR) or the finance charge disclosure. 2) If only a fee or dollar charge is listed, add up all interest and fees, divide by the amount borrowed, and convert the result to a yearly rate. 3) Check whether the loan was in writing, its size, and who made it (a bank, a licensed lender or a private person).
4) Compare the rate with the limit that applies to that type of lender and loan.
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Where to Report a Loan Above the Minnesota Maximum Interest Rate
The Minnesota Department of Commerce licenses consumer lenders and takes complaints online, by email at [email protected] or by phone at 651-539-1600. Complaints about banks, card issuers and other lenders can also go to the federal Consumer Financial Protection Bureau at consumerfinance.gov/complaint.
Common Mistakes With Minnesota maximum interest rate
The most common mistake is missing a deadline: court and creditor deadlines run whether or not you have read the papers, and a missed one usually cannot be undone. The second is relying on an old article or a friend’s experience in another state — the rules on this page differ from state to state and change often, which is why every figure here is dated.
The third is not keeping copies: every letter, form, receipt and bank statement may matter later, so keep them together and note the date you received each one.
Free Help With Minnesota maximum interest rate in Minnesota
You do not have to handle this alone or pay to get answers. The Minnesota court self-help center explains the forms and the steps, and court clerks can tell you where and how to file, although they cannot give legal advice.
Legal aid organizations represent many people at no cost when income is limited, and the Minnesota bar’s lawyer referral service can connect you with a lawyer for a low-cost first consultation. The Consumer Financial Protection Bureau accepts complaints about lenders, banks and debt collectors nationwide.
How We Verify the Minnesota maximum interest rate Figures
Every figure in the table above comes from our 50-state data file, built by reading the Minnesota statute or an official compilation of it, and each one carries the month we last checked it. Our writers do not change those figures; they explain them. When the law changes, the figure is updated and the date moves.
If something on this page no longer matches the statute, the statute controls — and we want to hear about it.
Corporations used to be barred from raising usury as a defense under Minn. Stat. 334.021, but that section was repealed in 2002. In 2023, Minnesota added Minn. Stat. 47.603, which limits payday loans charging more than 36% APR and requires the lender to check the borrower’s ability to repay.
Next rung: the Minnesota payday loan page covers the short-term loans that have their own caps.
Minnesota — the bottom line
- Minnesota maximum interest rate rules set two numbers — the legal rate and the written-contract cap — both in the table above.
- Many lenders sit outside the Minnesota maximum interest rate cap by license or charter, so check which rule covers your loan.
- If a loan breaks the Minnesota maximum interest rate rules, keep the agreement and report it to the state regulator.
Minnesota Maximum Interest Rate FAQ
What is the maximum interest rate allowed by law in Minnesota?
Without an agreement: 6% per year. In a written contract: up to 8% per year in a written contract.
Official Minnesota Sources & Resources
- Statute and the Conference of State Bank Supervisors 50-state usury survey (verified by each state regulator) — maximum legal interest rate: https://www.csbs.org/50-state-survey-consumer-finance-laws
- Statute and the Conference of State Bank Supervisors 50-state usury survey (verified by each state regulator) — maximum legal interest rate: https://facts.csbs.org/consumer-finance-law/dev
- Minnesota statute / opinion: https://www.revisor.mn.gov/statutes/cite/334/full
- Minnesota Department of Commerce – File a Complaint: https://mn.gov/commerce/consumer/file-a-complaint/
- Consumer Financial Protection Bureau: consumerfinance.gov
This Minnesota maximum interest rate guide was last verified against official Minnesota sources in October 2026. Rules change — confirm the current rule with the statute or a licensed attorney.
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Disclaimer: This guide is general information, not legal or financial advice. Bonus Bank Daily is an independent educational resource — not a law firm, not a bank, not a debt collector and not a government agency. Judgment, levy, interest-rate and debt rules change — every figure here carries the date we verified it.
Confirm the current rule with the statute, the court clerk or a licensed attorney in your state before you act.