Cyprus:
Revision Of The Maximum Permissible Interest Rate Under Article 314A Of The Criminal Code
08 November 2017
Elias Neocleous & Co LLC
To print this article, all you need is to be registered or login on Mondaq.com.
In 2011 the Criminal Code was amended by the addition of a new
article 314A, which makes it a criminal offence, punishable by up
to 5 years' imprisonment, a fine of up to EUR30,000 or both,
for lenders to charge interest at excessive rates. The maximum
permissible rate of interest, known as the reference rate, is set
by the Central Bank of Cyprus based on the average interest rates
charged by credit institutions plus an uplift of 50 per cent. Loans
made by authorised credit institutions, loans between associated
companies and loans of more than EUR 1 million to companies
financed from overseas are not subject to the limit.
The Central Bank of Cyprus has announced a revision of the
reference rate to 9.92 per cent with effect from 27 October
2017.
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
POPULAR ARTICLES ON: Criminal Law from Cyprus
CDR - Fraud, Asset Tracing & Recovery 2024
A.G. Erotocritou LLC
As one of the very few common law jurisdictions within the European Union, Cyprus has become well-established as a commercial, corporate and tech hub over the past few years.
When Is A Cheque Considered Forged?
Hamdan AlShamsi Lawyers & Legal Consultants
Can we consider a different signature or modification of the correct one admitted by the withdrawal of the cheque as an act of forgery...
International Perspective On Juvenile Justice
STA Law Firm
'No civilised society regards children as accountable for their actions to the same extent as adults ... The wisdom of protecting young children against the full rigour of the law is beyond argument.