What ever happened to the laws against usury?

Wondering what you can do for your town? 
Don't pay your real estate tax bill 


At 14 percent, it's called usury.

Why? Because your town can make a whole lot of  money by charging you 14 percent interest for not paying your tax bill on time. Isn't that usury?

If you pay your taxes on time, your town will deposit your check into a cash account, earning the town about 1 percent interest as the town draws down on the cash account to pay the town's bills.

If you pay late however, the town can earn 14 times the amount in interest.

On the average tax bill that's about $100 every six months.  Of course, if everyone did this, the town would have to borrow money to pay the bills. But it could do so at only 3 percent. 

Now I ask you, is this fair?  Borrowing at 3 percent, and charging late payers 14 percent.

No risk tax avoidance

By the way, there is no risk for the town with delinquent taxpayers. The taxes levied by towns take first position ahead of mortgages in tax court if the property owner were to default. Again, earning 14 percent along the way.

In other words, your house and land are collateral, securing the payment of your taxes, even before the bank can get at it's mortgage, making it some of the most secure debt in the world. 

With the many families that have fallen behind on household expenses during this recession, penalizing them for trying to stay afloat as homeowners in the community hardly seems like the best way to keep them here.

14 percent interest for the unpaid balance overdue is obscene in these deflationary times. What ever happened to the usury laws anyway?

 

CapeCodToday.com welcomes thoughtful comments and the varied opinions of our readers. We are in no way obligated to post or allow comments that our moderators deem inappropriate. We reserve the right to delete comments we perceive as profane, vulgar, threatening, offensive, racially-biased, homophobic, slanderous, hateful or just plain rude. Commenters may not attack or insult other commenters, readers or writers. Commenters who persist in posting inappropriate comments will be banned from commenting on CapeCodToday.com.