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 Virginia, usury laws are codified under the Virginia Code, which sets the maximum legal interest rates that can be charged on loans. The elements of a usury claim in Virginia include: (1) the existence of a loan of money; (2) an absolute obligation on the part of the borrower to repay the principal amount; and (3) the lender charging an interest rate that exceeds the maximum rate allowed by Virginia law. As of the knowledge cutoff date, the general usury limit in Virginia is 12% per annum unless a different rate is contracted for in writing, in which case the rate must not exceed the rate permitted by the applicable statute. Certain types of loans, such as those made by financial institutions or in connection with a credit card, may be subject to different interest rate limits. It's important to note that interest in Virginia is defined as compensation for the use or forbearance of money, and does not include legitimate time price differentials or other charges that are not classified as interest under the law. Service charges, finance charges, and discount points are typically considered interest for the purposes of usury unless they fall into exempted categories. Contingent or uncertain charges are generally not regarded as interest. Borrowers and lenders should ensure that any loan agreement complies with the relevant usury provisions to avoid penalties.