What is the usury interest rate in Alabama?

I recently moved to Alabama and I'm looking to get a car loan. I'm not familiar with lenders here, so I'm not sure who is reputable. What is the usury interest rate?

“The maximum interest is 8% according to Alabama usury laws. However, this law has many exemptions. In the case of car loans of more than $2,000, the interest rate can be higher than 8% so long as a judge doesn’t deem in unconscionably high.
Due to unsavory lending practices by some businesses and dealers, read over all the terms and conditions before you sign anything. This includes any fees or additional requirements such as carrying specific car insurance coverage.
You can also choose to shop around for loans. By comparing the rates and terms of conditions of different loans, you’ll be able to see who can offer you the best rate and avoid any predatory lending practices.
And since you’re going to need full coverage per the stipulations of your car loan, check out the Jerry app. Get quotes in less than a minute so you can find the best rate and save money.”
Emily Maracle
Answered on Jul 30, 2021
Emily Maracle is a car insurance specialist living in New York. Originally from the Pacific Northwest, she has a degree in English Literature and a background in customer service. She enjoys cooking, gardening, and living sustainably. In the future, she can't wait to upgrade to a hybrid or electric car.

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