Financial watchdogs in Tennessee are keeping an eye on interest rates. Greg Gonzales, the Commissioner of the Tennessee Department of Financial Institutions, has declared a new maximum effective formula rate of interest at 11.50 percent per annum. This figure has been meticulously pegged at 4 percent over the weekly average prime loan rate of 7.50 percent, which the Federal Reserve reported on Monday. According to the Department of Financial Institutions recent announcement, this rate will stand pat until the Fed adjusts its prime loan rate.
The legislative gears set in motion back in 1983, involving the Public Acts of Chapter 464, require that these financial tidbits come our way every seven days—a measure perhaps put in place to keep us all on our toes about where the cash flows. Gonzales, entrusted with this duty, said in the same breath that the rate "remains in effect until the average prime loan rate as announced by the Federal Reserve Bank changes." They made sure the message was sent out through the required weekly updates—lending a sense of rhythm to what could otherwise be the unpredictable tides of economic turns, as stated by the Department of Financial Institutions.
The Tennessee Department of Financial Institutions keeps an eye on banking, lending, and other financial activities in the state. If you have questions about interest rates or anything money-related, you can contact their Public Information Officer, Alica Owen, at (615) 289-4738. Weekly updates from officials like Gonzales help keep Tennesseans informed, even if the financial world can sometimes feel a bit unpredictable.
