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 Ohio, usury laws are codified under Ohio Revised Code (ORC) Section 1343, which governs the maximum interest rates that can be charged on loans. The legal rate of interest for the loan or forbearance of money in the absence of a written agreement is 8% per annum. However, with a written agreement, lenders can charge up to an annual rate of interest specified by the ORC, which is subject to change and may be higher than the base rate. The elements of a usury claim in Ohio include: (1) the existence of a loan of money; (2) an absolute obligation to repay the principal amount; and (3) the lender charging an interest rate exceeding the maximum allowed by Ohio law. Interest is considered compensation for the use or forbearance of money, and it does not include certain charges such as time price differentials, which are not deemed interest under the law. Service charges, finance charges, and discount points are typically regarded as interest for the purposes of usury. However, charges that are contingent or uncertain do not generally fall under the definition of interest for usury claims. It's important for borrowers and lenders to be aware of these regulations to avoid usury violations and potential legal consequences.