Secretary of State No.
USURY LAW. INITIATIVE. Amends Sections 1 and 3 thereof, and adds Sections 6, 7, 8, 9 and 10. Written agreement for interest rate unnecessary. Corporations cannot recover treble amount of interest paid. Defines "construction loans" and provides for computing interest thereon. Excepts agreements giving borrower option to pay before maturity. If maturity is accelerated by default, interest paid in advance is not usurious. Corporations cannot plead usury. Legislature regulates pawnbrokers and "industrial loan companies."
Usury Law California Initiative 1930-u-1 (1930).