For himself, the borrower must be required not only to return the principal in any event, but more than legitimate interests: this part of the agreement must be done with the agreement and knowledge of the contracting parties. If the contract is concluded in a foreign country, the interest rate authorized by that country`s laws can be calculated and will not develop, although it is higher than the amount set by law. In many historical societies, including ancient Christian, Jewish and many modern Islamic societies, wear and tear meant the raising of interests of any kind and was considered false or declared illegal.  During the Sutra period in India (7th to 2nd century BC), there were laws prohibiting the highest boxes from practicing wear.  Similar condemnations can be found in the religious texts of Buddhism, Judaism (ribbit in Hebrew), Christianity and Islam (Riba in Arabic).  Sometimes many nations, from ancient Greece to ancient Rome, have banned loans with interest. Although the Roman Empire eventually allowed loans with carefully limited interest rates, the Catholic Church in medieval Europe and the Reformed Churches in any case considered interest collection a matter of sin (and required a tax for the use of money, as in the case of a foreign exchange office).  Religious prohibitions of usury suggest that the imposition of interest on a loan is a sin. In the United States, some states are responsible for defining their own worn-out laws. While this type of financial activity may fall under the trade clause of the Constitution, Congress has not traditionally focused on wear and tear. The government considers the collection of wear and tear by violent means to be a federal offence. Finally, if the courts find that an agreement has violated Section 347, they are free to use judicial discretion for flexible corrective measures tailored to the contractual context before them. If the agreement violates Section 347 and is not challenged (for example.B.
it is not a loan-sharking agreement), the courts generally apply the fictitious severance appeal. With regard to the fictitious severance pay, the courts will re-evaluate the interest rate provisions of the agreement in order to avoid illegality and, therefore, to partially implement the agreement.