681. Extortionate credit transaction.

681.     Extortionate credit transaction.

A transaction is extortionate if, having regard to the risk accepted by the person providing the credit:


    (1)     the terms of it are or were such as to require grossly exorbitant payments to be made, whether unconditionally or in certain contingencies, in respect of the provision of the credit1; or


    (2)     it otherwise grossly contravened ordinary principles of fair dealing;

and it is to be presumed, unless the contrary is proved, that a transaction with respect to which an application is made2 is or, as the case may be,