Connecticut payday loan banking laws

October 26th, 2012 by Shawn Martin


Connecticut State Flag
Connecticut State Flag

One has to wonder when reading Connecticut payday loan banking laws.

There are 23 states that allow payday loans, and 19 that prohibit them completely.

Connecticut is on of the latter states, but they have made provisions in their small loan laws

They allow Payday Loans and really have no limits on how much you can borrow, as long as you stay under the small loan cap of $15000.00

There is also no limit on how long or how many payday loans a person can take out at any given time.

Interest rates are set up as any amount a borrower agrees to pay, and with unlimited roll overs this could lead to some seriously high rates.

 

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California Payday Loan Laws

October 25th, 2012 by Shawn Martin


California State Flag
California State Flag

California payday loan laws are similar to other states in they are designed to protect the borrower.

You must be licensed to give internet payday loans in California but it is legal to do business in Payday and cash advances.

The maximum amount of a Payday loan or cash advance in California is 31 days. No roll overs are allowed, and the interest rate is  15 percent of the amount loaned.

A 14 day loan will cost you $17.50 and that works out to an APR of 459 percent annually.

The laws are aimed at avoiding predatory  lending practices. Because of the many choices of lenders in California we suggest you make sure the one you choose to do business with is on the up and up.

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Payday Loan Laws In the state of Arkansas

October 24th, 2012 by Shawn Martin


Arkansas State Flag
Arkansas State Flag

The payday loan laws in the state of Arkansas are unique and rather disheartening to the borrowers welfare. While payday loans are technically illegal in Arkansas, they are still in business and growing by the day.

Arkansas law prohibits any lender to charge more than 5 percent annually for and given loan agreement.

Since the APR of  payday loans is usually around 390 to 780 percent annually, yes, you read that right, this makes payday loans illegal in this state.

Many law suites have been created out of this law and payday loan companies had to do something about this problem so the convinced the Arkansas legislature to introduce and pass the Act 1216 of 1999, the “Check-Cashers Act,” codified at ARK. CODE ANN. § 23-52-100

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Alabama Pay Day Loan Laws

 

 

Alabama State Flag
Alabama State Flag

Alabama like many other states is experiencing the same financial situations as everyone these days.

Alabama Payday loan laws are at the rate of 15.5 percent, and the average loan is 10 to 31 days.

What is interesting is this state offers you the option of paying it all off at once after one roll over, or they can set you up with 4 equal payments over 4 months on any outstanding balance after the one time roll over.

Remember, the interest rates do not drop, and it can be quite costly by the time the loan is finally paid off, and any insufficient funds when checks are presented will be subject to additional fees.

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