Interest Rate Equalization Act of 1980

Interest Rate Equalization Act of 1980 - Title I: Interest Rate Amendments Regarding State Usury Ceilings on Certain Loans - Amends the Federal Deposit Insurance Act, the National Housing Act, and the Federal Credit Union Act to permit federally insured banks, savings and loan associations, credit unions, and approved mortgagees under Federal mortgage insurance programs to charge interest at one percent in excess of the discount rate in effect in their Federal Reserve districts notwithstanding lower State usury ceilings. Penalizes the charging of interest in excess of such rate by forfeiture of the creditor's entire interest in the indebtedness. Terminates such preemption of State law on July 1, 1982.

Amends the Small Business Investment Company Act of 1958 to permit qualified small business investment companies to charge interest on business loans at a rate equal to the lower of the following, if such rate would be higher than an applicable State usury law: (1) the maximum rate prescribed by regulation of the Small Business Administration for loans made by any small business investment company determined without regard to any State rate incorporated by such regulation; or (2) the higher of the Federal Reserve discount rate plus one percent or the applicable State usury ceiling. Terminates such preemption of State law on July 1, 1982. Establishes penalties for the charging of interest in excess of such ceilings. Authorizes a small business company aggrieved by a violation of this Act to recover twice the amount of the interest paid on a usurious loan by bringing a civil action in an appropriate court.

Title II: Applicability of State Usury Ceilings to Certain Obligations Issued by Banks and Affiliates - Amends the Federal Reserve Act, the Federal Deposit Insurance Act, and the Federal Home Loan Bank Act to preclude specified financial institutions from pleading or claiming with respect to any deposit or obligation of such institution any defense or right under any State law regulating interest rates. Suspends any penalty which would otherwise attach under any such State law.

Stipulates that the provisions of this title shall apply only with respect to deposits made or obligations issued during the period beginning with the enactment of this Act and ending on July 1, 1982.

Title III: General Provisions - States that this Act shall not affect the applicability of provisions of Federal law governing rates of interest on certain business and agricultural loans in excess of $25,000. Provides for the severability of the provisions of this Act.