Tennessee Department of Financial Institutions · TN
COMMISSIONER GONZALES ANNOUNCES WEEKLY FORMULA RATE SEPTEMBER 15, 2026
September 15, 2026
Summary
Tennessee's maximum effective formula rate of interest is set at 10.75% per annum, based on the Federal Reserve's weekly average prime rate of 6.75% plus a 4% statutory ceiling. The rate applies to loans made in Tennessee and stays in effect until the average prime rate changes, as required by Chapter 464 of the Public Acts of 1983.
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NASHVILLE--Commissioner of Financial Institutions Greg Gonzales announced today that the maximum effective formula rate of interest in Tennessee is 10.75 percent per annum.
The rate is based on a ceiling of 4 percent over the weekly average prime loan rate of 6.75 percent as published by the Federal Reserve on September 14, 2026.
Commissioner Gonzales said the rate remains in effect until the average prime loan rate as announced by the Federal Reserve Bank changes.
Chapter 464, Public Acts of 1983, the legislation regulating interest rates in Tennessee, requires that the commissioner of Financial Institutions make an announcement weekly of the formula rate of interest.
Alica Owen
Public Information Officer
Tennessee Department of Financial Institutions
(615) 289-4738
Common questions
- What does "COMMISSIONER GONZALES ANNOUNCES WEEKLY FORMULA RATE SEPTEMBER 15, 2026" cover?
- Tennessee's maximum effective formula rate of interest is set at 10.75% per annum, based on the Federal Reserve's weekly average prime rate of 6.75% plus…
- Which agency issued this update?
- This update was issued by Tennessee Department of Financial Institutions.
- When was it published?
- It was published on September 15, 2026.