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Usury Laws in North Dakota

North Dakota caps most private loans of $35,000 or less at a floating rate (9.293% for October 2026), sets a 6% legal rate when no rate is agreed in writing, and makes charging usury a class B misdemeanor.

Last checked . General information, not legal advice.

North Dakota at a glance

Maximum agreed rate
9.293% (October 2026, floating)
5.5 points above the 6-month Treasury bill average, never below 7%. Does not apply to loans over $35,000, loans to companies, or regulated lenders.
Legal rate (no rate agreed)
6%
Criminal usury
Any usurious rate: class B misdemeanor
Charging, taking or receiving a usurious rate is a class B misdemeanor, on top of forfeiting all interest and 25% of the principal.

Sources

Last checked

The rules in North Dakota

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

Maximum agreed rate in North Dakota: 9.293% (October 2026, floating). 5.5 points above the 6-month Treasury bill average, never below 7%. Does not apply to loans over $35,000, loans to companies, or regulated lenders.

What interest rate applies in North Dakota when no rate was agreed?

Legal rate (no rate agreed) in North Dakota: 6%.

When is charging high interest a crime in North Dakota?

Criminal usury in North Dakota: Any usurious rate: class B misdemeanor. Charging, taking or receiving a usurious rate is a class B misdemeanor, on top of forfeiting all interest and 25% of the principal.

Where do the North Dakota usury laws come from?

The rules above come from N.D. Cent. Code 47-14-05, N.D. Cent. Code 47-14-09, N.D. Cent. Code 47-14-10 and N.D. Cent. Code 47-14-11. Each source is linked on this page. We last checked them in October 2026.

Good to know

The North Dakota Department of Financial Institutions publishes the usury rate every month; it was 9.293% for October 2026.

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.