Delaware § 2304 Usury defined; borrower’s rights and remedies where interest exceeds the lawful rate

Delaware Statutes

§ 2304 — Usury defined; borrower’s rights and remedies where interest exceeds the lawful rate

Delaware § 2304

Title6

Ch. 23INTEREST

This text of Delaware § 2304 (Usury defined; borrower’s rights and remedies where interest exceeds the lawful rate) is published on Counsel Stack Legal Research, covering Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Del. Code tit. 6, § 2304 (2026).

Text

(a)Usury is the charge to a borrower by a lender, directly or indirectly, of a higher rate of interest than that permitted by law.

(b)When a rate of interest for the loan or use of money exceeding that established by law has been reserved or contracted for, the borrower or debtor shall not be required to pay the creditor the excess over the lawful rate and the borrower or debtor may, at the borrower’s or debtor’s option, retain and deduct the excess from the amount of any debt. In all cases where any borrower or debtor has paid the whole debt or sum loaned, together with interest exceeding the lawful rate, the borrower or debtor, or a personal representative, may recover in an action against the person who has taken or received the debt and interest, or the personal representative, the

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(a) Usury is the charge to a borrower by a lender, directly or indirectly, of a higher rate of interest than that permitted by law.

(b) When a rate of interest for the loan or use of money exceeding that established by law has been reserved or contracted for, the borrower or debtor shall not be required to pay the creditor the excess over the lawful rate and the borrower or debtor may, at the borrower’s or debtor’s option, retain and deduct the excess from the amount of any debt. In all cases where any borrower or debtor has paid the whole debt or sum loaned, together with interest exceeding the lawful rate, the borrower or debtor, or a personal representative, may recover in an action against the person who has taken or received the debt and interest, or the personal representative, the sum of 3 times the amount of interest collected on any loan in excess of that permitted by law or the sum of $500, whichever is greater, if such action is brought within 1 year after the time of such payment.

Legislative History

Code 1852, § 1160; 16 Del. Laws, c. 310, § 1 ; Code 1915, § 2621; 28 Del. Laws, c. 213 ; Code 1935, § 3101; 6 Del. C. 1953, § 2304; 56 Del. Laws, c. 443 ; 70 Del. Laws, c. 186, § 1