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Usury Laws in Wisconsin

Wisconsin caps most loans to individuals at 12% a year, applies a 5% legal rate when no rate is agreed in writing, and allows a fine of up to $500 or up to 6 months in jail for violations.

Last checked . General information, not legal advice.

Wisconsin at a glance

Maximum agreed rate
12%
Does not apply to loans to corporations or LLCs, loans of $150,000 or more (unless secured by the borrower's home) or Wisconsin Consumer Act transactions.
Legal rate (no rate agreed)
5%
Criminal usury
Violating the cap: $25 to $500 fine, up to 6 months

Sources

Last checked

The rules in Wisconsin

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

Maximum agreed rate in Wisconsin: 12%. Does not apply to loans to corporations or LLCs, loans of $150,000 or more (unless secured by the borrower's home) or Wisconsin Consumer Act transactions.

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

Legal rate (no rate agreed) in Wisconsin: 5%.

When is charging high interest a crime in Wisconsin?

Criminal usury in Wisconsin: Violating the cap: $25 to $500 fine, up to 6 months.

Where do the Wisconsin usury laws come from?

The rules above come from Wis. Stat. 138.04, Wis. Stat. 138.05 and Wis. Stat. 138.06. Each source is linked on this page. We last checked them in 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.