Most states have usury laws (usually statutes) governing the amount of interest that can be charged on a loan. Usury laws vary from state to state, but the elements of a usury claim are generally: (1) a loan of money; (2) an absolute obligation to repay the principal; and (3) the exaction of a greater compensation than allowed by law for the use of the money by the borrower.

And interest means compensation for the use, forbearance, or detention of money. The term does not include time price differential, regardless of how it is denominated. The term does not include compensation or other amounts that are determined or stated by law not to constitute interest, or that are permitted to be contracted for, charged, or received in addition to interest in connection with an extension of credit.

Service charges, finance charges, and discount points are generally considered interest for purposes of usury. But contingent or uncertain charges are generally not considered interest.

In Georgia, usury laws are codified under the Official Code of Georgia Annotated (O.C.G.A.). These laws set the maximum interest rates that can be charged on loans to prevent lenders from imposing excessive interest. As per O.C.G.A. § 7-4-2, the legal rate of interest for any loan or forbearance of money in the absence of an expressed contract is 7% per annum. Where there is an express contract, the maximum interest rate is generally 16% per annum on the principal amount. If the interest charged exceeds the amount permitted by law, it may constitute usury. However, there are exceptions for certain types of loans and lenders, such as banks and credit unions, which may be subject to different regulations. Charges that are not considered interest include service charges, finance charges, and discount points, provided they are not used to disguise interest rates that would otherwise be usurious. Contingent or uncertain charges are typically not regarded as interest under usury laws.