$1500.00 Interest on 3 Month Loan of $7500.00

A family member gave us a loan of $7500.00 for 3 months. He is charging us $500.00 per month interest. He gave us the loan in cash.
He wants repayment of loan in cash only.
Is this legal? He is also charging $100.00 per day late charge if the payments are late, with no grace period.
We had an emergency and had to have the money, otherwise we would have have not made this deal.

I am a law school graduate. What I offer is mere information, not to be construed as forming an attorney client relationship.

A private loan is a private loan. Did you agree to this? Is it in writing? 10% of 7500 is 750. That is usually okay. 500 overall isn't bad and being paid in cash is fine. HE gave YOU loan, so his terms or no cash.

If you feel his terms are UNCONSCIONABLE, take him to court and get a judgment that way or wait until he takes you to court.

This loan was made in a coporation's name, without the other officers in the corporation knowing. He is to receive the payments in cash and the money will go into his pocket. The cah used was from the corporation funds.
What is "unconscionable?
<BLOCKQUOTE><font size="1" face=" Arial, Verdana, Helvetica">quote:</font><HR>Originally posted by lawrat:
I am a law school graduate. What I offer is mere information, not to be construed as forming an attorney client relationship.

A private loan is a private loan. Did you agree to this? Is it in writing? 10% of 7500 is 750. That is usually okay. 500 overall isn't bad and being paid in cash is fine. HE gave YOU loan, so his terms or no cash.

If you feel his terms are UNCONSCIONABLE, take him to court and get a judgment that way or wait until he takes you to court.<HR></BLOCKQUOTE>

Unconscionable essentially means that the contract is so horrible, so unfair, that it is voidable.