What does usury refer to in legal terminology?

Usury in legal terminology specifically refers to the practice of charging interest on loans at rates that exceed the legal limit established by law. This concept is rooted in laws designed to protect borrowers from predatory lending practices that impose exorbitant fees and interest rates. Each jurisdiction has its own legal rate, and any charge beyond this threshold is considered usurious.

Thus, the definition aligns clearly with the concept of usury, distinguishing it from other practices such as charging interest within legal limits or setting fixed interest rates, which do not fall under the definition of usury.