NASHVILLE—Tennessee Department of Financial Institutions Commissioner Greg Gonzales has announced that the state’s maximum effective formula rate of interest is set at 12.00 percent per annum. This rate is determined based on a ceiling of 4 percent above the weekly average prime loan rate, which is currently 8.00 percent as published by the Federal Reserve on October 7, 2024.
Commissioner Gonzales stated that the 12.00 percent rate will remain in effect until there is a change in the average prime loan rate as announced by the Federal Reserve Bank. This announcement is in compliance with Chapter 464, Public Acts of 1983, which mandates that the Commissioner of Financial Institutions must declare the formula rate of interest on a weekly basis.
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For further information, individuals can contact Alica Owen, the Public Information Officer at the Tennessee Department of Financial Institutions, at (615) 289-4738.
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