Act10
Enacted 1918

The Usurious Loans Act, 1918

In force 4 sections Finance

It is expedient to give additional powers to Court to deal in certain cases with usurious loans of money or in kind;

Act 10 of 1918 Enacted 22 Mar 1918 In force 22 Mar 1918 Department Department of Economic Affairs

Administered by. Ministry of Finance, Department of Economic Affairs · Other Acts of 1918

Preamble

THE USURIOUS LOANS ACT, 1918

ACT NO. 10 OF 19181

[22nd March, 1918.] An Act to give additional powers to Courts to deal in certain cases with usurious loans of money or in kind.

WHEREAS it is expedient to give additional powers to Courts to deal in certain cases with usurious loans of money or in kind; It is hereby enacted as follows:--

What this Act covers

Summary of Usurious Loans Act, 1918

*Primary Focus: Empower Courts to handle usurious loans, protecting debtors from excessive interest.

Key Provisions

• Extent & Title:

• Title: Usurious Loans Act, 1918

• Extent: Applies to the whole of India, except specified areas (Part B States before 1st November, 1956, with provisions for State Government exemptions).

• Definitions: - Interest: Includes any return over the lent amount, whether called interest or otherwise.

• Loan: Encompasses loans in money or kind, and transactions substantially equivalent to loans.

• Suit to which this Act Applies: Covers suits for recovery of loans made after the Act's commencement, enforcement of securities, or redemption of securities.

• Court Powers to Re-open Transactions (Section 3):

• Re-open Transactions: If interest is excessive and the transaction is substantially unfair.

Sections

Type to filter. 4 sections.

  1. 1Short title and extent
  2. 2Definitions
  3. 3Re-opening of transactions
  4. 4Insolvency proceedings

Related Acts

Source and method. Compiled from the enactments of Parliament and of the State legislatures as published on India Code, and republished together with commentary and other original matter under section 52(1)(q)(ii) of the Copyright Act, 1957. Structured, cross-referenced and maintained by eCourtsIndia. Every one of the 4 sections of this Act has its own page. This page is not a substitute for legal advice.