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Usury Laws in Kansas

Kansas allows written loan agreements up to 15% a year and sets a 10% legal rate when no other rate was agreed.

Last checked . General information, not legal advice.

Kansas at a glance

Maximum agreed rate
15%
Does not apply to business or agricultural loans, consumer credit code transactions and certain mortgage loans.
Legal rate (no rate agreed)
10%
Prejudgment interest in tort actions filed since July 1, 2023 uses a lower, separate rate.

Sources

Last checked

The rules in Kansas

What is the maximum interest rate on a private loan in Kansas?

Maximum agreed rate in Kansas: 15%. Does not apply to business or agricultural loans, consumer credit code transactions and certain mortgage loans.

What interest rate applies in Kansas when no rate was agreed?

Legal rate (no rate agreed) in Kansas: 10%. Prejudgment interest in tort actions filed since July 1, 2023 uses a lower, separate rate.

Where do the Kansas usury laws come from?

The rules above come from K.S.A. 16-201 and K.S.A. 16-207. Each source is linked on this page. We last checked them in October 2026.

Good to know

A lender who contracts for more than 15% forfeits the excess interest plus an equal amount, and the borrower recovers a reasonable attorney fee (K.S.A. 16-207(d)).

What this means in practice

Put the interest rate in writing. Many usury statutes set one limit for written agreements and a different, often lower, rate when nothing was agreed in writing. A signed promissory note or loan agreement that states the rate, the payment schedule and what happens on late payment avoids most disputes.

Count every charge, not only the stated rate. Courts may treat fees, points, required extras or a discount taken from the amount lent as interest when deciding whether a loan is usurious. A loan with a modest rate and large fees can still cross the limit.

Check who the lender is and what the loan is for. Usury limits often do not apply, or apply differently, to banks, licensed consumer lenders, credit card issuers, larger loans and loans to businesses or corporations. A rule written for loans between individuals may not cover your situation, so read the statute and its exceptions.

General information, not legal advice. Laws change, and cities can add their own rules, so check the current statute before you rely on it.