Interest and Interest Calculation under Civil and Commercial Law

Abstract

       The objective of this article is to study the essence of interest under the Civil and Commercial Code, particularly in parts relevant to charging of interest on a loan between individuals, who are not financial institutions, default interest and compound interest, by studying the criteria of the statutes concerning control of interest in each category, including the Civil and Commercial Code, Emergency Decree on the Amendment to the Civil and Commercial Code, B.E. 2564 (2021), Act Prohibiting the Charging of Excessive Interest Rates, B.E. 2560 (2017), as well as the presentation of methods for calculating interest which overlap between the former legislation and the current law. In order to educate people about the laws for preventing them from being taken advantage of by charging the interest, which does not comply with the law, for gaining unfair benefits.