---
kind: "section"
citation: "46 C.F.R. § 298.25"
title: "46"
number: "298.25"
heading: "Excess interest or other consideration."
url: "https://uscodex.org/cfr/46/298.25"
---

# §298.25. Excess interest or other consideration.


We shall not execute Guarantees if any agreement in the Documentation directly or indirectly provides for:

- (a) The payment to an Obligee of interest, or other compensation for services which have not been performed, in a manner that such compensation or payment is being provided as interest in excess of the rate approved by us; or
- (b) **Grants of security to an Obligee in addition to the Guarantees.**

## Notes

### Authority

Authority: 46 U.S.C. chapter 537; 49 CFR 1.93.

### Source

Source: 65 FR 45152, July 20, 2000, unless otherwise noted.