Yes they are subject to NYS usury laws with certain exceptions. For example, if the lender is a federally chartered bank they would be subject to federal usury limits. In NY the usury rate is 16.99% for individuals and 24.99% for corporations. Anything over 25% is criminal usury. If the loan were made to a business the higher rate would be allowed. Check your loan documents to see where the lender is chartered, who the loan is made to (individual or a business) and whether it states that the laws of another state govern. If you still feel the rate is illegally high contact the attorney general and/or the NYS banking department.
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