How Much Interest on Loan?

Question

To lend money, how much should the monthly interest be?

1 week

Answers

  1. Aside from the fact that the person giving the loan should be careful not to charge an exorbitant amount of interest, there is no set amount of interest that can be charged for loaning money to others.

    It is important to point out that according to the Torah a Jew cannot charge interest on a loan to a fellow Jew. (However, a non-Jew may charge interest from a Jew, and – in the spirit of reciprocity – a Jew may charge him interest as well.)

    Best wishes from the AskTheRabbi.org Team