In the United States, there is a range of lenders offering easy payday loans. Each state has different requirements, loans amount, loans term and loan interest rate, fee. Therefore customers need to know about each lenders. This post we introduce about the easy payday loans of each state.
In the previous post, Infocreditfree.com introduces people to some of the necessary information that is useful for getting the best mortgage rates to get more information people can read the article People need to find a lender with the best mortgage rates. Now, let find knowledge about the easy payday loans in the post today.
EASY PAYDAY LOANS
Just like a lot of article posts about personal loan lenders, low-cost loans for bad credit, loans for average credit, best payday loans…. this post about the easy payday loans also includes some main parts. They are:
1. What are the easy payday loans?
An easy payday loan, as the name implies, is a short-term loan, usually repaid within one month (on the next payment date). Other special features of the fast payday loan are instant processing of applications and no hard credit check.
This is offset by the high-interest rates of fast payday loans. Typically, people apply for quick-pay emergency loans or when they are ineligible for other types of credit for a number of reasons. A quick repayment loan can be a good solution if only the borrower can repay it until the due date.
2. Some advantages and disadvantages of easy payday loans
2.1. Some advantages of easy payday loans
These loans are easily accessible
The biggest advantage of day loans is that customers can easily register and borrow money. In fact, many lenders of this type promise to have access to cash within 24 hours and they decide to lend immediately. Some lenders even offer online applications, ready for lending 24/7.
Unlike traditional loans that can take time to register, these applications can only take at least five minutes.
These loans have fewer requirements with the borrower
If you borrow money from traditional lenders like banks, credit institutions … you will have to provide Social Security numbers, photo IDs, proof of income, credit checks and ability to pay your debt. Fast cash loans, on the other hand, have fewer requirements when registering.
Simply put, all you need to apply for a day loan is:
- You must be at least 18 years old
- You must have a government issued ID or Social Security number
- You must have a regular job or other source of regular income
- You must have an active bank account
- You are not required to have a credit check
If with traditional loans, you need good credit to be approved, day loans do not require credit history. Since the lender does not withdraw your credit, you are not required to have any hard credit, which can reduce your credit score by several points.
It has an unsecured loan
This means you do not have to mortgage or secure any personal property such as cars, houses, cars … However, with unsecured loans, if you do not pay, the giver The loan fully accesses your bank account on the day you get paid. And that is your loan terms. And if you don’t pay, the lender may also take steps to take you to court on the outstanding balance.
2.2. Some disadvantages of easy payday loans
These loans are very expensive
Depending on the state, these loans have high interest rates. For comparison, many personal loans charge around 4% -36%, while credit card interest rates range from 12-30%. Payday loans are considered prey: The lender does not check if you can repay the loan. If you can repay the loan, you may be forced to roll over the loan several times, accumulating new fees each time.
Payday loan does not help you build credit. If the loan provider does not report to any of the three major credit bureaus, this could be a warning sign. If you are unsure whether a loan will report to a credit bureau, ask.
It easily gets stuck in a debt cycle
Each time you renew a loan, the lender of the day will have to pay additional fees, increasing the out-of-pocket costs of the loan. In fact, nearly 1 in 4 day-to-day loans is more than 9 times. Loan rotation can significantly increase the time needed to repay, sometimes adding months or years to the initial two-week term.
They target low-income ethnic minority communities
According to a 2016 report by the Responsible Lending Center, lenders pay primarily in ethnic minority communities. In fact, the report shows that there are about 8.1 loan shops that pay over 100,000 people in the African American and Latin American community, while most white streets only have about 4 per 100,000 people.
That means there are twice as many lenders paying in color communities compared to white communities.
The easy payday loan lenders have access to customers’ bank account
To gain access to a quick cash advance, borrowers are often required to grant lenders access to their bank account. While setting up direct deposits to make bill and loan payments quite common today, access to this account works a bit differently.
Many payday lenders let you write a postpaid check – that is, in this case, a dated check to be exchanged for cash after your next payment date – when you receive your get the loan. If you do not have enough money in your account when they pay the check, you may face expensive overdraft charges and returned check fees (also known as insufficient funds) from your bank as well as fees. Bounce or fail from lender.
These additional fees add to the already high cost charged by lenders on payday. If you find yourself in this situation, contact your bank immediately to discuss your account protection options.
The payday lender can sue you for the money you owe
Like other lenders, if you don’t pay your lender for long enough, they can take you to court and try to make a judgment against you for not paying your debt. If a sentence is ordered, you could face a penalty, imprisonment or other consequences.
However, keep in mind that legal battles are expensive. In the case of small dollar lending, it is not always worth the time and money the lender initiates to sue. However, some companies or debt collectors will threaten to sue or threaten wages to scare you into paying them quickly.
Easy payday loans do not help you build credit
Last but not least, payday loans do not help you build credit because they usually don’t report to the credit bureau. Some payment versions in some states allow you to work your way up to interest rate loans that can be paid in installments and reported to the credit bureau. However, this option is very rare and there is very little information about the time or how many loans are not reported with the high interest rates required before you can build credit with their loans.
3. Information of easy paydays loans in some states
| State | Max Loan Amount | Loan Term | Finance Charges |
|---|---|---|---|
| Alabama | $500 | Min 30 days | ≤ 17.5% of amount advanced. |
| Alaska | $500 | Min 30 days | Nonrefundable origination fee ≤ $5.
Fee ≤ $15 for each $100 advance, or 15% total amount of advance |
| California | $300 | Max 31 days | ≤ 15% of total advance amount. |
| Colorado | $500 | No max. Min 6 months. | ≤ 36% APR |
| Delaware | $1,000 | 60 days maximum | Can vary based on loan terms. |
| Florida | $500 for single payment loans, not including fees | Max: 31 days
Min: 7 days |
Fees ≤ 10% of the original cash advance.
Fees ≤ 8% outstanding transaction balance on biweekly basis. |
| Hawaii | $600 | Max: 32 days | Check casher fee ≤ 15% face amount of check. |
| Idaho | $1,000 | n/a | Loan ≤ 25% of borrower’s gross monthly income. |
| Illinois | $1,000 or 25% of consumer’s gross monthly income for single payment loan |
|
≤ $15.50/$100 loaned. Verification fee ≤ $1. |
| Indiana | $550 | Min 14 days | Limited to 15% on first $250 of principal.
Limited to 13% of the amount over $250 for loans from $250-$400. Limited to 10% of the amount over $400 for loans from $400-$550. |
| Iowa | $500 | Max: 31 days | ≤ $15 on $100 cash advance or more than $10 on following $100 increments. |
| Kansas | $500 | 30 days maximum (7 days minimum) | ≤ 15% of cash advance amount.
Contract rate ≤ 3%/mth of loan proceeds after maturity date. No insurance charges/other charges permitted, except returned check fees. |
| Kentucky | Limit 2 payday advances per customer for $500 total | 60 days maximum | ≤ $15 per $100 loan amount.
$1/transaction fee for required data to be submitted. |
| Louisiana | $350 | 30 days maximum | ≤ 16.75% of cash advance. Can’t exceed $45. |
| Maine | None | n/a | Fees vary depending on loan amount and unpaid balances. |
| Michigan | $600 | 31 days maximum | Service fee can’t exceed:
|
| Minnesota | $350 | 30 days maximum | Up to $50: can’t exceed $5.50.
$50-$100: can charge 10% of loan proceeds + $5 administrative fee. $100-$250: 7% of loan proceeds with minimum of $10 + $5 administrative fee. $250-$350: 6% of loan proceeds with minimum of $17.50 + $5 administrative fee. Additional rules apply for after loan maturity. |
| Mississippi | $500, including fees | 30 days maximum | ≤ $20/$100 of cash advance up to $250.
≤ $21.95/$100 advance between $250-$500. |
| Missouri | $500 | 31 days maximum (14 days minimum) | Lenders can only charge simple interest.
No borrower must pay accumulated interest and fees exceeding 75% of initial loan amount. |
| Montana | $300 | n/a | ≤36% per ye ar, not including insufficient fund fees. |
| Nebraska | $500 | 34 days maximum | ≤ $15 per $100 of advance. |
| Nevada | In combination with other outstanding loans, can’t exceed 25% of customer’s gross monthly income | 35 days maximum | Can vary based on loan terms.
APR ≤ 36% or max APR under federal law. |
| New Hampshire | $500 | 30 days maximum (7 days minimum) | ≤ 36% APR |
| North Dakota | $500 | 60 days maximum (15 days minimum) | Fees ≤ 20% of original cash advance and do not count as interest. |
| Ohio | $1,000 | 12 months maximum (91 days minimum). Minimum may be less if total monthly payment does not exceed 6% of borrower’s monthly gross income. | Interest ≤ 28% per year.
May charge monthly maintenance fee ≤ 10% of original loan amount or $30. If original loan amount is greater than $500, may charge 2% of original loan amount. Can charge up to $20 for returned or dishonored payment. Can charge check cashing fee, not to exceed $10. Damages, costs and other disbursements, may not exceed original loan amount.Fees and charges ≤ 60% of original loan amount. |
| Oklahoma | $500, not including finance charge | 45 days maximum (12 days minimum) | ≤ $15 for every $100 advanced up to first $300 advanced.
May charge additional $10 for every $100 advanced in ≤ $300. |
| Oregon | $50,000 | 60 days maximum (31 days minimum) | ≤ 36% interest per year.
Charge ≤ 1 origination fee of $10 per $100 of loan amount or $30, whichever is less. |
| Rhode Island | $500 | 13 days minimum | Check- cashing fees ≤ 3% amount of advance or $5, whichever is greater, if check is payment from state public assistance or federal social security benefit.
Check-cashing fees ≤ 10% of original loan or $5, whichever is greater. Check-cashing fees ≤ 5% of original loan or $5, whichever is greater, for all other checks. ≤ 10% of amount advanced in transaction fees. |
| South Carolina | $550 | 31 days maximum | ≤ 15% of original loan amount. |
| South Dakota | $500 | n/a | ≤ 36%/year. |
| Tennessee | $500 | 31 days maximum | Fees ≤ 15% of original loan amount and do not count as interest. |
| Texas | Varies | For a loan of $100 or less, 1 month for each multiple of $10 cash advance or 6 months, whichever is less. For a loan of $100+, 1 month for each multiple of $20 of cash advance. | Varies widely depending on loan type and amount.
$0-$30: Acquisition charge ≤ $1 for every $5 of cash advance. $30-$100: Acquisition charge can’t exceed one-tenth of cash advance amount. |
| Utah | None | Varies depending on rollover selection. | Collect additional interest on payday loan with outstanding principal ≤ 10 weeks after loan executed. |
| Virginia | $500 | At least two times the borrower’s pay cycle | Simple annual rate ≤ 36%.
May charge loan fee ≤ 20% of original loan amount. Verification ≤ $5. |
| Washington | $700 or 30% of borrower’s gross monthly income, whichever is lower | 45 days maximum, unless extended through agreement | ≤ 15% of first $500 of principal.
≤ 10% of portion in excess of $500. |
| Wisconsin | None | n/a | No limit on interest charged before maturity date of payday loan.
Charge interest ≤ 2.75% per month. This changes if you have more than 1 payday loan. ≤ $1,500 or 35% of gross monthly income in payday loans. |
| Wyoming | None | 30 days maximum | ≤ $30 or 20% per month on principal balance of original loan. |
This post is information about best payday loans in the USA. Also if you are looking for information about payday loans no credit check in Australia, you should read the article Payday loans no credit check may be a consideration for you from Loansaustralia.net.
In addition, if you are looking for a payday loans in New Zealand. you should the article Customers can get easily payday loans NZ by two ways from Loansnz.net.
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