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Commissioner Gonzales Announces Weekly Formula Rate for October 31, 2012

Wednesday, October 31, 2012 | 11:14am

NASHVILLE -- Tennessee Department of Financial Institutions Commissioner Greg Gonzales announced today that the maximum effective formula rate of interest in Tennessee is 7.25 percent per annum.

The rate is based on a ceiling of 4.00 percent over the weekly average prime loan rate of 3.25 percent as published by the Federal Reserve on October 31, 2012.

Gonzales said the rate remains in effect until the average prime loan rate as announced by the Federal Reserve Bank changes. Chapter 464, Public Acts of 1983, the legislation regulating interest rates in Tennessee, requires that the commissioner of Financial Institutions make an announcement weekly of the formula rate of interest.

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CONTACT:
Valerie Somerville

Public Information Officer

Tennessee Department of Financial Institutions
615-532-1925

Valerie.somerville@tn.gov