Indiana maximum interest rate is the answer to “maximum interest rate allowed by law in Indiana”. This guide gives the Indiana 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 Indiana maximum interest rate figures on this page were verified against a dated 50-state compilation and Indiana sources as of October 2026; the statute named here is where to check them yourself.
Indiana maximum interest rate at a Glance
| Criminal usury threshold | receiving more than two times the rate in IC 24-4.5-3-508(2)(a)(i) — generally an APR above 72% — is loansharking |
| Statute | IC 35-45-7-2 (loansharking); IC 24-4.5-3-508 |
In This Indiana maximum interest rate Guide:
What the Indiana Maximum Interest Rate Means
Usury means charging more interest than Indiana law allows. Indiana’s “legal rate” of 8% a year applies only when a loan or forbearance has no agreed rate (IC 24-4.6-1-102). The contract cap is different: for consumer loans, the Indiana Uniform Consumer Credit Code (IC 24-4.5) sets the most a lender may charge, and licensed “supervised” lenders get a higher tiered ceiling.
The Indiana maximum interest rate Figures
| Rule | Bonus Bank Daily verified figure |
|---|---|
| Criminal usury threshold | receiving more than two times the rate in IC 24-4.5-3-508(2)(a)(i) — generally an APR above 72% — is loansharkingcompilation / agency — verified Oct 2026 |
| Statute | IC 35-45-7-2 (loansharking); IC 24-4.5-3-508compilation / agency — verified Oct 2026 |
The Indiana maximum interest rate figures on this page were verified against a dated 50-state compilation and Indiana sources as of October 2026; the statute named here is where to check them yourself.
Who the Indiana Maximum Interest Rate Applies To
The Indiana Consumer Credit Code covers consumer loans to individuals for personal, family or household purposes, including loans from licensed consumer lenders and finance companies. Banks chartered in other states, and national banks, can generally charge the rate allowed in their home state under federal law, even to Indiana residents. Credit card rates are usually set by the issuing bank’s home state, not by the Indiana cap.
Business and commercial loans generally fall outside the consumer caps.
Credit Cards and the Indiana Maximum Interest Rate
Most credit cards are issued by national or out-of-state banks. Federal law (12 U.S.C. 85, upheld in Marquette v. First of Omaha) lets those banks “export” the interest rate allowed where they are based, so a card rate above Indiana’s consumer cap is usually legal. In most cases the card agreement and the bank’s home-state law control the rate.
What Happens When a Lender Breaks the Indiana Maximum Interest Rate
Under the Consumer Credit Code, finance charges above the legal limit are generally subject to refund, and a borrower may be able to recover the excess and a court-set penalty (IC 24-4.5-5-202). Indiana DFI guidance states that charges above the criminal loansharking threshold are void, and that prepaid finance charges count toward the APR used for that test. Confirm your situation with the statute, the court clerk or an attorney.
How to Check a Loan Against the Indiana Maximum Interest Rate
1) Find the Truth in Lending disclosure in your loan papers and note the “Annual Percentage Rate” and “Finance Charge.” 2) Confirm the APR includes upfront fees and prepaid finance charges, since Indiana counts them. 3) Identify the lender type, such as a licensed supervised lender, a bank or a payday lender, because each has its own cap.
4) Compare the APR with the cap in IC 24-4.5-3-508 or the chapter that applies. 5) Check the lender’s license with the Indiana DFI.
Where to Report a Loan Above the Indiana Maximum Interest Rate
The Indiana Department of Financial Institutions (DFI), Consumer Credit Division, licenses consumer lenders and takes complaints at in.gov/dfi. You can also file a complaint with the Consumer Financial Protection Bureau at consumerfinance.gov/complaint.
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Common Mistakes With Indiana 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 Indiana maximum interest rate in Indiana
You do not have to handle this alone or pay to get answers. The Indiana 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 Indiana 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 Indiana maximum interest rate Figures
Every figure in the table above comes from our 50-state data file, built by reading the Indiana 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.
Indiana’s dollar thresholds in the Consumer Credit Code, including the breakpoints for the tiered supervised-loan rates and the minimum loan finance charge, are adjusted for inflation by the DFI every two years (IC 24-4.5-1-106; 750 IAC 1-1-1). The figures in older copies of the statute may therefore be out of date.
Next rung: the Indiana payday loan page covers the short-term loans that have their own caps.
Indiana — the bottom line
- Indiana 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 Indiana maximum interest rate cap by license or charter, so check which rule covers your loan.
- If a loan breaks the Indiana maximum interest rate rules, keep the agreement and report it to the state regulator.
Indiana Maximum Interest Rate FAQ
Is there a criminal usury law in Indiana?
receiving more than two times the rate in IC 24-4.5-3-508(2)(a)(i) — generally an APR above 72% — is loansharking
Official Indiana 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
- Indiana statute / opinion: https://law.justia.com/codes/indiana/title-24/article-4-5/chapter-3/section-24-4-5-3-508/
- Indiana Department of Financial Institutions — Loansharking Guidance (Consumer Credit Division): https://secure.in.gov/dfi/files/2017-02-Loansharking_FINAL.pdf
- Consumer Financial Protection Bureau: consumerfinance.gov
This Indiana maximum interest rate guide was last verified against official Indiana 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.