386

LAWS OF MARYLAND

[Ch. 49

directives" are deleted as unnecessary since
they are encompassed within the general
reference to "Federal law."

The          present          specific         cross—references

contained in §12, as well as the provision
that the loan is permissible "unless otherwise
provided in...this article [or] this Code" are
deleted as unnecessary within the new
structure of this subtitle.

(E) COMMERCIAL AND CORPORATE LOANS - NO MAXIMUM.

A LENDER MAY CHARGE INTEREST AT ANY RATE IF THE LOAN
IS:

(1)   A LOAN MADE TO A CORPORATION OR

(2)   A COMMERCIAL LOAN IN EXCESS OF $5,000.

REVISOR'S NOTE: This subsection is new language
derived without substantive change from Art.
23, §125 and Art. 49, §7.

The word "charge" is substituted for "charge,
contract for, and receive" to conform to the
usage elsewhere in this title. The right to
charge presupposes the right to contract and
receive, and no change of meaning is intended.

The ten "commercial loan" is defined in
§12-101 of this subtitle.

12-104. INTEREST NOT CONSIDERED USURIOUS.

INTEREST AT A RATE OTHERWISE ALLOWED BY THIS
SUBTITLE IS NOT USURIOUS SOLELY BECAUSE OF ANY ONE OR
MORE OF THE FOLLOWING:

(1)       FOR A PERIOD OF LESS THAN ONE YEAR, INTEREST IS
CALCULATED ON THE PREMISE THAT THERE ARE 360 DAYS IN THE
YEAR AND 30 DAYS IN EACH MONTH, WHICH MAY INCLUDE THE
DATE OF THE LOAN AND THE DATE DUE OR PAID;

(2)         INTEREST ON A PERIODIC PAYMENT OF PRINCIPAL IS
COMPUTED TO THE DUE DATE; OR

(3)       EXCEPT FOR LOANS MADE UNDER §12-103(C):

(i) INTEREST-DROP CALCULATIONS ARE MADE ON
SUMS NOT IN EXCESS OF MULTIPLES OF $100, WITHOUT REGARD
TO INTERIM PARTIAL PAYMENTS; OR

(ii) INTEREST-DROP CALCULATIONS ARE MADE ON