By Shawn Martin
The payday loan laws in Montana are like many of the other states in that they seem to favor the lending companies over the borrowers.
While on the surface they may seem borrower friendly, they still can rack up some serious payday loan debt.
This state does limit the total amount of the loan plus fees to not exceed $300.00 with a minimum of $50.00 per loan.
The loan amount must not exceed 25% of the borrowers monthly income.
This looks very good on paper, until you add in each payday loan company may grant 2 loans per customer. So, in essence, you may have unlimited payday loans if you go to more than one payday lender, and this can lead to financial disaster!
The lenders may extend your payday loan past the 31 day limit, but must not charge for it, making it a very unfavorable option to the lender. The borrower does have the right to resind the loan 1 day past the date of the loan.
This state is set up for financial failure for the borrower and finding oneself in the payday loan trap is a real possibility.
We strongly reccomend if you use this service in Montana to only take a loan out for what you need and pay it off on the first due date. Do not take more than one loan out for any reason!
We can help!
If you find you have landed in the payday loan trap and do not know what to do reest asured that we can help you.
I hope this information on Montana state payday loan laws will help you make wise decisions on using these services.