Lended Money from A Person
Hi i am an Indian Muslim Women having a 3 yrs old daughter. I am from Hyderabad, Telangana State.
Last month i had a rewuirement of 50000 rupees. And my neighbour women told me that she can lend me 50000 rupees and after 30 days she asked me to pay 10000 rupees interest. So i have to pay total 60000 rupees for one month.
She is not a Licenced Money Lender. She asked me to sign the promissory note (without any revenue stamps) for 50000 rupees with 10000 rupees interest for 30 days/1 month.
30 days havent finished. But she has started pressure on me everyday for the money.
Is it leagal to collect that much interest as a common man or as a Un-Licensed Money Lender? What is the Maximum interest rate she can take as per Telangana State Government Law.
If i sign on promissory note for that interest. Can i fight to reduce it or can i take time leagally to clear the amount in installments?
please reply me in clear with act numbers. So that i can refer online.
Thanks in advance.