What does the term usury refer to in legal contexts?

The term usury specifically refers to the practice of charging excessively high interest rates on loans, which are considered unlawful or exploitative. In legal contexts, usury laws are designed to protect borrowers by capping interest rates that lenders can charge. When rates exceed these legal limits, the interest charged is classified as usurious.

In this context, 'excess interest' captures the essence of usury, as it conveys the idea that the interest rate is not only high but also surpasses legal or ethical boundaries. Understanding usury is crucial, especially for funeral service professionals who may deal with financing options for their clients, as it underscores the importance of adhering to lawful and fair lending practices.