CHAPTER 7. LOANSHARKING

IC 35-45-7
    Chapter 7. Loansharking

IC 35-45-7-1
Definitions
    Sec. 1. As used in this chapter:
    "Loan" means any transaction described in section 3 of thischapter, whether or not the transaction is in the form of a loan asdefined in IC 24-4.5-3-106, and without regard to whether the personmaking the loan is regularly engaged in making consumer loans,consumer credit sales, or consumer leases.
    "Principal" includes the monetary value of property which hasbeen loaned from one (1) person to another person.
    "Rate" means the monetary value of the consideration receivedper annum or due per annum, calculated according to the actuarialmethod on the unpaid balance of the principal.
As added by Acts 1980, P.L.207, SEC.1. Amended by P.L.247-1983,SEC.24.

IC 35-45-7-2
Loansharking
    Sec. 2. A person who, in exchange for the loan of any property,knowingly or intentionally receives or contracts to receive fromanother person any consideration, at a rate greater than two (2) timesthe rate specified in IC 24-4.5-3-508(2)(a)(i), commits loansharking,a Class D felony. However, loansharking is a Class C felony if forceor the threat of force is used to collect or to attempt to collect any ofthe property loaned or any of the consideration for the loan.
As added by Acts 1980, P.L.207, SEC.1.

IC 35-45-7-3
Application of chapter
    Sec. 3. (a) This chapter applies only:
        (1) to consumer loans, consumer related loans, consumer creditsales, consumer related sales, and consumer leases, as thoseterms are defined in IC 24-4.5, subject to adjustment, whereapplicable, of the dollar amounts set forth in those definitionsunder IC 24-4.5-1-106;
        (2) to any loan primarily secured by an interest in land or saleof an interest in land that is a mortgage transaction (as definedin IC 24-4.5-1-301.5) if the transaction is otherwise a consumerloan or consumer credit sale; and
        (3) to any other loan transaction or extension of credit,regardless of the amount of the principal of the loan orextension of credit, if unlawful force or the threat of force isused to collect or to attempt to collect any of the propertyloaned or any of the consideration for the loan or extension ofcredit in question.
    (b) This chapter applies regardless of whether the contract is madedirectly or indirectly, and whether the receipt of the consideration is

received or is due to be received before or after the maturity date ofthe loan.
As added by Acts 1980, P.L.207, SEC.1. Amended by P.L.247-1983,SEC.25; P.L.14-1992, SEC.164; P.L.122-1994, SEC.121;P.L.35-2010, SEC.208.

IC 35-45-7-4
Contracts void
    Sec. 4. A loan or a contract for a loan which is made throughloansharking is void.
As added by Acts 1980, P.L.207, SEC.1.