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Rules by state

Payday lending is governed almost entirely at state level. What is routine in one state is a criminal usury violation in the state next door.

All 51 jurisdictions are published, each cited to a primary source. Most are verified directly against the state regulator or the statute; a few are documented from primary research with the regulator citation still being finalised. Every page shows which of the two it is — and none is checked against another website.

Verified

AlabamaPermitted — around $17.50 per $100Legal AlaskaPermitted — around $20 per $100Legal ArizonaStatute allowed to expire in 2010 — now under the 36% consumer capProhibited by sunset Arkansas17% usury limit, set in the state constitutionProhibited California$300 check, 15% fee, 31 days, no rolloversLegal, tightly capped Colorado36% cap passed by voters, no origination or maintenance feesLegal, capped at 36%ConnecticutPayday loans void and unenforceable — 36% cap for licensed lendersProhibited in practice DelawareNo rate cap — but only five loans a year, which changes the totalLegal, uncapped District of ColumbiaStatute repealed in 2007 — lenders do not operate hereProhibited Florida$500 cap, 10% + $5, one loan at a time — and a free 60-day extensionLegal, capped GeorgiaIllegal — and the ban sits in the criminal codeProhibited HawaiiPayday lending repealed in 2022 — replaced with 36% instalment loansPayday repealed IdahoNo cap on price; $1,000 or 25% of monthly income on sizeLegal, uncapped Illinois36% all-in cap — loans above it are null and voidLegal under 36% only IndianaPermitted — long-standing minimum finance chargeLegal IowaPermitted — $500 max, tiered feeLegal KansasPermitted — limits on loans per 30 days; military protectionsLegal KentuckyPermitted — statewide databaseLegal LouisianaPermitted under deferred presentment legislationLegal MaineAmong the first states with an anti rent-a-bank true lender lawTiered caps MarylandCeiling too low for the product to be viableProhibited in practice MassachusettsLicensing required; ceiling makes payday unworkableProhibited in practice Michigan$600 cap, tiered fee to $76, and a right to sue for costsLegal, capped Minnesota50% all-in cap — not 36%, despite what guides sayLegal, capped at 50%MississippiCredit Availability Act sunset extended four more yearsLoosening Missouri75% of principal — roughly 1,950% APR on a two-week loanLegal, effectively uncapped Montana36% cap by ballot in 2010, down from 400%Legal, capped at 36%Nebraska36% cap passed by 83% of voters — loans above it are uncollectableLegal, capped at 36%NevadaNo price cap; loan limited to 25% of monthly incomeLegal, uncapped New HampshireReported 36% capRestrictive New JerseyCriminal usury at 30% — payday lending effectively prohibitedProhibited New Mexico36% all-in cap since 2023, down from 175%Legal, capped at 36%New YorkProhibited — and usurious loans are void and unenforceablePayday lending banned North CarolinaStatute expired in 2001 — 36% ceiling sinceNot authorised North DakotaPermittedLegal Ohio28% cap, payment tied to your income, 60% total-cost ceilingLegal, strongly capped OklahomaAllowable fees raised, then another fee addedLoosening Oregon36% interest — but the regulator states the real cap is 153.77% APRLegal, capped Pennsylvania6% for unlicensed lenders; above 36% is criminal usuryProhibited Rhode IslandPermitted — payday carved out of the general usury limitLegal South CarolinaPermitted — $550 max, one at a time, 15% fee capLegal South Dakota36% cap by ballot — exceeding it is a Class 1 misdemeanourLegal, capped at 36%TennesseePermitted under the Deferred Presentment Services ActLegal TexasNo fee cap at all — the broker structure explainedLegal, uncapped UtahNo interest or fee cap — registration and disclosure onlyLegal, uncapped VermontOne of the lowest ceilings in the countryProhibited in practice Virginia36% + capped fee, no balloon payments, $2,500 maxLegal, reformed 2020 Washington$700 or 30% of income, 8 loans a year, free installment plan rightLegal, tightly capped West VirginiaDeferred presentment loans not allowed at all — the mechanism is bannedProhibited WisconsinNo maximum interest rate at allLegal, uncapped WyomingRepealed protections on its most expensive loansLoosening

Why this is slow, and why that is the point

We are checking each jurisdiction against primary sources. It is far slower than copying an existing guide, and here is what that turned up.

One widely-published guide lists Nevada, South Dakota and Wisconsin among states with an outright ban on payday lending. Another states those same three have no limit on interest rates or fees at all. A third lists Texas as a ban — Texas has no fee cap whatsoever.

We also found a page describing North Carolina as a “full ban” and then, in the same article, listing fee caps, rollover rules and a 12-to-96 month repayment term for it. That is three different loan products mixed into one answer.

Someone reading the wrong version could conclude their loan is illegal when it is not, or lawful when it is not. On pages people read at the worst moment of their financial lives, that is not an acceptable margin of error.

Puerto Rico

Not a state, but 3.2 million US citizens.

Puerto RicoPayday lending not authorised by statute — small loans under OCIF ceilingsNot authorised

All 51 jurisdictions are now published

Not all to the same standard. Each page carries a badge saying whether it was verified against the state regulator or documented from research sources with a regulator citation still pending.

What the two levels mean

Verified against the state regulator — every figure traced to the regulator’s own materials or the statute, cited inline with the provision.

Documented from research sources — drawn from Pew, the National Consumer Law Center, legislative research offices and similar. Reliable enough to publish with the caveat shown, not yet good enough to publish without it.

We are working through the second group. Pages move up as they are verified, and the date on them changes when they do.

Two things that apply everywhere, today

The Military Lending Act 36% cap

If you are active-duty military, or a dependent of someone who is, most consumer credit to you is capped at a 36% Military Annual Percentage Rate — a figure that includes most fees, not just interest. It is federal, applies in every state, and is violated more often than it should be.

Tribal immunity claims

Several online lenders are affiliated with federally recognised tribes and assert sovereign immunity from state rate caps and licensing. A borrower in a state capping credit at 36% can end up on a loan costing several times that.

Whether that holds has been litigated repeatedly and outcomes vary. What we can tell you now is which lenders make the claim — nine appear in our directory.