I think you want to stay as far from NY as possible since you could run afoul of NY's criminal usury laws. The law that applies is the law that you made apply in the agreement to loan the money. If you didn't choose a forum, then you'll argue for Nevada, which has relaxed usury laws, and they'll argue for NY, and if not NY, then Texas which is no where near as bad as NY, but still not as good as Nevada. If you are going to make it a business charging high interest loans, then you really should consult with an attorney before making the loans, not after default.
Why do you keep asking these Qs on AVVO? Are you hoping some dumb lawyer will tell you it's OK and you can sue and collect on your usurious loans? Well, you can't, at least not the interest.You need to do 2 things:
Hire a lawyer to try to collect.
Hire a lawyer to counsel you on what is and is not permitted under the usury laws, before making any more deals.
DISCLAIMERâ€”This answer is for informational purposes only under the AVVO system, its terms and conditions. It is not intended as specific legal advice regarding your question. The answer could be different if all the facts were known. This answer does not establish an attorney client relationship. I am admitted only in California. (Bryant) Keith Martin sbbizlaw.com