A State-by-State Guide to Payday Loan Interest Percentages

Payday loans are among the most convenient small amount loans to meet your emergency expenses. However, the payday loan industry is governed by state regulations that impose limits on both the interest rate and the loan amount that can be borrowed by a consumer. Local lenders apply state regulations to frame their payday loan rates that significantly influence the cost of these loans. Make sure you understand the overall cost of a payday loan in your state before you borrow.

State by state guide to payday loan interest rate

Payday Loans: State-by-State Guide

Here is a compilation of payday loan interest percentages by the state, as per the Center for Responsible Lending. Interest rates may vary from state to state. These states have limited the payday loan amounts to around $500 to $1000, as per the National Conference of State Legislators.

State APR % Max Loan Amount
Alabama 456 $500
Alaska 435 $500
Delaware 521 $1000
Hawaii 460 $600
Indiana 382 $550
Kansas 391 $500
Kentucky 460 $500
Michigan 369 $600
Mississippi 521 $500
Missouri 443 $500
Nebraska 460 $500
New Hampshire N/A $500
North Dakota 487 $500
Ohio 677 $500
Oklahoma 395 $500
Rhode Island 261 $500
South Carolina 391 $550
South Dakota N/A $500
Tennessee 460 $500
Virginia 601 $500

Source: Center for Responsible Lending, National Conference of State Legislators Christmas Loans

In the following states, upper limits offered for a loan amount are much higher. A few of them require that you borrow the loan amount equivalent to a percentage of your monthly earnings.

State APR % Max Loan Amount
Idaho 652 $1000
Illinois 404 $1000 or 25% of gross monthly income, whichever is less
Nevada 652 25% of gross monthly income
New Mexico 416 $2500
Texas 662 Not specified
Utah 658 None
Washington 391 $700 or 30% or gross monthly income, whichever is less
Wisconsin 574 None
Wyoming 261 None

Source: Center for Responsible Lending, National Conference of State Legislators

Here is the list of states where minimal payday loan amounts are offered:

State APR % Max Loan Amount
California 460 $300
Louisiana 391 $350
Minnesota 200 $350
Montana N/A $300

Source: Center for Responsible Lending, National Conference of State Legislators Christmas Loans

These two states have legislation, which necessitates that loans be of longer duration and do not cater to faster loans.

State APR % Max Loan Amount
Colorado 214% APR per deferred loan $500 with a minimum loan term of 6 months
Oregon 154 $50,000 with a minimum loan term of 31 days

Source: Payday Loan Consumer Information, Center for Responsible Lending, National Conference of State Legislators

Finally, not every state favors the short-term or the payday loan version. These states dictate that only a regulated few manage the short-term loans or prohibit them entirely.

State APR % Max Loan Amount
Arizona N/A Prohibited
Arkansas N/A Prohibited
Connecticut N/A Prohibited
Georgia N/A Prohibited
Maine   Only supervised lenders are permitted to cash or advance money on a postdated check
Maryland N/A Prohibited
Massachusetts N/A Prohibited
New Jersey N/A Prohibited
New York N/A Prohibited
North Carolina N/A Prohibited
Pennsylvania N/A Prohibited
Vermont N/A Prohibited
West Virginia N/A Prohibited

Source: Center for Responsible Lending, National Conference of State Legislators

That covers the payday loan interest percentages in all the 50 U.S. states to give you clarity on where you can find suitable payday loans.

Online payday loans offer solutions for temporary money problems and are not intended for long-term use. Apply for online payday loans with us today, and we will help you cover your financial gap at once!

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Robin Williams

Robin Williams is an Executive at CashOne, a reputable financial services company that helps consumers tide over their short-term financial crises. Our fast, convenient, and secure online loan application eliminates the unnecessary hassles or time required to procure payday loans online.


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