Vermont Statutes Title 9 Sec. 50
Terms Used In Vermont Statutes Title 9 Sec. 50
- Contract: A legal written agreement that becomes binding when signed.
- Conviction: A judgement of guilt against a criminal defendant.
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
- Fees: shall mean earnings due for official services, aside from salaries or per diem compensation. See
- Finance charge: The total cost of credit a customer must pay on a consumer loan, including interest. The Truth in Lending Act requires disclosure of the finance charge. Source: OCC
- Forbearance: A means of handling a delinquent loan. A
- Partnership: A voluntary contract between two or more persons to pool some or all of their assets into a business, with the agreement that there will be a proportional sharing of profits and losses.
- Person: shall include any natural person, corporation, municipality, the State of Vermont or any department, agency, or subdivision of the State, and any partnership, unincorporated association, or other legal entity. See
- Statute: A law passed by a legislature.
§ 50. Penalties
(a) When a greater rate of interest than is allowed by law is paid, the person paying it may recover the amount so paid above the legal interest, with interest thereon from the time of payment and all expenses of collection, including reasonable attorney’s fees, in a civil action on this statute.
(b) Except as otherwise expressly authorized by law, a lender shall not knowingly or willfully make any contract, express or implied, that directly or indirectly calls for the payment of any interest or finance charge in excess of the legal rate as set forth in section 41a of this title. The section shall be enforceable only to the extent herein provided and the lender shall have no right to collect any interest or charges whatsoever and shall have a right to collect only one-half of the principal.
(c) Any person, partnership, association, or corporation and the several members, officers, directors, agents, and employees thereof, who knowingly or willfully contracts for or collects any sum in excess of legal interest for the loan, use, or forbearance of money, unless expressly authorized by law to do so, shall, for the first offense, be fined not more than $500.00 or imprisoned for not more than six months, or both. Upon conviction for violating this section in any transaction entered into or consummated after a first conviction hereunder, the offender shall be fined not more than $1,000.00 or imprisoned for not more than one year, or both. (Added 1967, No. 377 (Adj. Sess.), eff. March 26, 1968; amended 1979, No. 173 (Adj. Sess.), § 14, eff. April 30, 1980.)