This page provides general legal information and calculation tools, not legal advice. DocketMath is not a law firm and does not provide legal representation, and using this site does not create an attorney-client relationship. Laws change and exceptions apply, so deadlines and amounts specific to your situation should be confirmed with a licensed attorney in your jurisdiction.

Payment Plan Math in Maryland

Under Maryland’s Commercial Law § 12-103, the maximum interest rate for a written payment plan is 24% per year. This statute caps the annual percentage rate a creditor may charge on a retail installment contract or other consumer credit agreement that is reduced to writing. The law applies to the principal amount financed and sets a ceiling; any rate above that figure is usurious and unenforceable. The precise formula for computing the interest over the life of the agreement depends on the repayment schedule, which the statute defines in detail. The official text, linked below, contains the exact calculation method and any applicable exceptions. For a specific estimate, the DocketMath payment plan calculator applies the statutory rule to your particular loan terms.

Governing authority

In Maryland, the payment plan math rule is set by Md. Code, Commercial Law § 12-103. The verified packet cites Md. Code, Commercial Law § 12-103 (https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=12-103&enactments=false).

Maryland payment plan math: the verified value is 24% under Md. Code, Commercial Law § 12-103. The verified packet cites Md. Code, Commercial Law § 12-103 (https://mgaleg.maryland.gov/mgawebsite/Laws/StatuteText?article=gcl&section=12-103&enactments=false).

Estimate your own result: every situation has exceptions that can change the outcome. Use the payment plan math calculator to estimate your specific figure.

This page provides general legal information and calculation tools, not legal advice. DocketMath is not a law firm and does not provide legal representation, and using this site does not create an attorney-client relationship. Laws change and exceptions apply, so deadlines and amounts specific to your situation should be confirmed with a licensed attorney in your jurisdiction.