Free loan-matching service. Zebra Finance is not a lender. We connect you with lenders. How we make money

Payday Loan Laws by State

Updated 2026-10-25 · By the Zebra Finance editorial team · How we research

Payday loans are legal in most states, each with its own limits. By our count, 21 states and DC prohibit them or cap rates so low that typical payday loans aren't offered (verified October 2026). States that allow them usually cap the loan size, often around $500, and set fee and rollover limits. Check your state below.

Request a payday loan

✓ Free to use✓ About 3 minutes✓ No obligation✓ Bad credit OK to apply
  1. 1 Choose an amount and fill out the form
  2. 2 Get matched with a lender in our network
  3. 3 Review your offer and get funded, often next business day

Tip: apply on a weekday morning for the best chance of funding by the next business day.

No hard credit inquiry on our end; lenders may check your credit. Not a lender; approval, amount and terms come from the lender. Example: $1,000 over 12 months at 35.99% APR ≈ $100.46/month.

Who sets the rulesEach state (federal law adds protections)
Where not offered21 states + DC (verified Oct. 2026)
Common loan capAbout $500 where allowed
Common fee range$10–$30 per $100 where allowed
Online lendersGenerally follow your state's law
Where payday isn't allowedPersonal / installment loans may be available

Payday loan laws at a glance

Use the table to find your state's status and key limits. Each state links to a detailed page with the governing statute and what that state allows. Rules change, so each row shows when we last verified it.

StatePayday loansMax loanFee / rate capRollovers
AlabamaLegal$500 per loan.The fee may not exceed 17.5% of the amount advanced ($17.50 per $100).One renewal or extension is allowed at the same fee, for a maximum of two continuous transactions.
AlaskaLegal$500 outstanding at one time from a licensee, including all of its locations.A non-refundable origination fee of up to $5, plus a fee of no more than $15 per $100 advanced or 15% of the advance, whichever is less.Up to two consecutive renewals, each for at least 14 days and at no higher fees.
ArizonaNot available—Licensed consumer lenders may charge up to 36% a year on consumer loans of $3,000 or less (lower tiers above $3,000), plus limited allowed…—
ArkansasNot available—17% per year maximum interest on loans covered by Amendment 89 § 3.—
CaliforniaLegalYour personal check cannot exceed $300.The fee may not exceed 15% of the check amount ($45 on a $300 check).Rollovers are prohibited.
ColoradoNot available$500.36% APR, all charges included.—
ConnecticutNot available—36% APR (or the Military Lending Act maximum, if lower) for small loans under $5,000.—
DelawareLegal$1,000.No cap.No more than 4 rollovers of an existing loan.
District of ColumbiaNot available—24% per year maximum interest.—
FloridaLegal$500 per single-payment loan (not counting fees).Single-payment loan: fees may not exceed 10% of the amount provided, plus a verification fee (OFR states this as $5.00).Not allowed.
GeorgiaNot available———
HawaiiNot available———
IdahoLegal$1,000 per loan, and no more than $1,000 in total outstanding with one lender (plus fees).No dollar or percentage cap.A lender may renew a payday loan no more than 3 times in a row; after that the loan must be repaid in full.
IllinoisNot availablePayments coming due in the loan's first month, together with your other payday loans due that month, may not exceed the lesser of $1,000 or…36% APR on the unpaid amount financed, calculated the all-in Military Lending Act way (finance charges plus fees and add-on products count).Prohibited.
IndianaLegal$825 total outstanding with one lender (single or combined loans), and no single loan over 20% of your gross monthly income.15% on the first $250; 13% on the part from $250 to $400; 10% on the part from $400 to $825.Not allowed.
IowaLegalA lender may not hold checks from you totaling more than $500 at any one time.$15 on the first $100 of the check and no more than $10 on each additional $100 (pro rata for part of $100).Not allowed.
KansasLegal$500 cash advance.15% of the amount of the cash advance.A payday loan may not be repaid with the proceeds of another payday loan from the same lender or a related business.
KentuckyLegalYou may have at most two payday loans open at once, and the total cash you receive from all open payday loans may not exceed $600.The fee may not be more than $15 per $100 of the check's face amount, prorated.A lender (or its affiliate) may not renew, roll over or consolidate a payday loan for a fee.
LouisianaLegalFor September 1, 2026 to August 31, 2027, the most a lender may pay you on a payday loan (deferred presentment) is $740; a 'small loan' is…The fee may not be more than 16.75% of the face amount of your check.Renewals and rollovers are banned.
MaineLegalMaine law sets no payday-specific maximum loan amount, according to the Bureau of Consumer Credit Protection.A lender may charge either the general consumer-loan finance charge (30% a year on the first $2,000 and lower tiers above that) or a flat…Maine law has no payday-specific rollover or renewal limit, according to the Bureau.
MarylandNot available—Interest on loans of $2,000 or less is capped at 2.75% a month (33% a year) on the first $1,000 and 2% a month (24% a year) on the rest;…—
MassachusettsNot available—Licensed small loan companies may charge no more than 23% a year on the unpaid balance (actuarial method), plus a $20 administrative fee…—
MichiganLegalA licensee may make one payday loan to you for any amount up to $600 (fees not included).The service fee may not exceed 15% of the first $100, 14% of the second $100, 13% of the third $100, 12% of the fourth $100 and 11% of the…A lender may not renew a payday loan.
MinnesotaLegalA consumer small loan is $350 or less, and one borrower may not owe more than $350 in total on such loans at one time.The lender may charge an annual percentage rate of up to 50%, counting all interest, finance charges and fees.A consumer small loan may not be repaid with the proceeds of another such loan from the same lender (or a related…
MississippiLegalYour check (loan plus fee) may not be for more than $500, and you may not have more than $500 in total outstanding, fees included.No more than $20 per $100 advanced for checks with a face amount up to $250, and no more than $21.95 per $100 advanced for checks over $250…A lender may not renew or extend a payday check, and a check may not be paid off with the proceeds of another check…
MissouriLegalPayday loans are loans of $500 or less, and a lender (with its affiliates) may not have more than $500 in payday loans outstanding to you…Interest and fees are whatever the parties agree to (simple interest), but you can never be required to pay total interest and fees of more…The lender must renew the loan if you ask in writing and pay the interest and fees due, but each renewal must reduce…
MontanaNot availableA payday loan must be at least $50 and no more than $300, not counting the fee.The fee for making or carrying a payday loan may not be more than 36% a year.Payday loans may not be renewed or extended for a fee, and a lender may not pay off one payday loan with another.
NebraskaNot availableA lender may not hold checks from one borrower totaling more than $500 at any one time.A lender may not charge more than 36% APR.Renewals, rollovers and paid extensions are banned.
NevadaLegalA payday loan, together with the borrower's other outstanding loans from the lender, may not exceed 25% of the borrower's expected gross…Nevada sets no cap on the interest rate or fee for a payday loan.Repaying, renewing or refinancing a payday loan may not stretch the loan past 90 days from the date it was made.
New HampshireNot availableA borrower may not owe a lender more than $500 in payday loan principal at one time.APR may not exceed 36%, and interest is the only charge allowed, with no other fees.Refinancing, renewing or extending a payday loan is prohibited.
New JerseyNot available———
New MexicoNot available—36% APR maximum, counting ancillary products, credit insurance and other fees even if federal Regulation Z would leave them out.—
New YorkNot available—Civil usury cap of 16% a year (loans under $250,000 by non-bank lenders and state-chartered banks); above 25% a year is criminal usury.—
North CarolinaNot available—Unlicensed lenders: 16% a year on loans of $25,000 or less.—
North DakotaLegalA lender may not give you more than $500 in one payday loan.The fee may not be more than 20% of the amount the lender pays you.A loan may be renewed only once.
OhioLegalA short-term loan may not exceed $1,000.Interest is capped at 28% a year.A lender may refinance a short-term loan only if the new loan stays within the 28% interest cap and no monthly…
OklahomaNot availableSmall loans are capped by the total you may owe across all small lenders.Interest may not exceed 17% per month.—
OregonLegal—Interest may not exceed 36% a year.No more than two renewals.
PennsylvaniaNot available—No payday fee schedule exists.—
Rhode IslandLegalThe check may not exceed $500, and a lender and its affiliates may hold no more than $500 in total outstanding checks from you.The deferred deposit fee may not exceed 10% of the amount advanced.Only one rollover (extending the due date for an extra fee) is allowed.
South CarolinaLegalNo more than $550 advanced to you at one time, not counting the fee.The fee may not exceed 15% of the principal and may be charged only once per agreement.Not allowed.
South DakotaNot available—36% a year, counting all fees and charges.—
TennesseeLegalA lender (and related persons) may hold no more than two of your checks at once, with a total face value of no more than $500.The fee may not exceed 15% of the face amount of the check.Not allowed.
TexasLegal via CSO/CAB—No state cap on the credit access business fee.State law does not ban refinancing.
UtahLegal—No rate or fee cap in the payday statute.Rollovers are allowed only if you ask for one, and only within the 10-week limit.
VermontNot available—No payday product is allowed.—
VirginiaLegalA short-term loan may not exceed $2,500, and a lender may not have you owe it more than $2,500 in principal at any time.Interest at a simple annual rate of no more than 36%, plus a monthly maintenance fee of no more than 8% of the original loan amount or $25,…A lender may refinance a short-term loan only into another short-term loan that meets all the Chapter 18 rules, and…
WashingtonLegal$700 or 30% of your gross monthly income, whichever is lower.Total interest and fees may not exceed 15% of the first $500 of principal and 10% of any principal above $500.A lender may not give you a new payday loan to pay off an old one from the same lender or its affiliate.
West VirginiaNot available—No payday product is allowed.—
WisconsinLegalA lender may not make a payday loan that leaves you owing all payday lenders combined more than $1,500 or 35% of your gross monthly income,…No limit on the interest a licensee may charge before the maturity date.You may repay a payday loan with the proceeds of one new payday loan, but you may not repay that second loan with yet…
WyomingLegal—The only charge allowed is a post-dated check finance charge of no more than $30 or 20% a month of the principal, whichever is greater.A post-dated check loan may not be repaid, refinanced or consolidated with the proceeds of another post-dated check…

Verified against state statutes and regulators; click a state for citations. Last verified 2026-10-25.

How to read the table

  • Status. 'Allowed' means licensed lenders can make payday or deferred-deposit loans under a specific state law. 'Not allowed' or 'Rate cap' means state law prohibits them outright or caps small-loan rates so low that typical payday loans can't be made. Some states allow only installment-style small loans.
  • Maximum loan. The largest single loan or total payday balance allowed. In some states the cap includes fees; in others it's tied to your income.
  • Fee cap. The legal maximum, usually a fee per $100 borrowed or a percentage of the amount.
  • Term. The minimum and maximum loan length.
  • Rollovers and cooling-off. Whether a loan can be renewed for another fee, and any required wait between loans.
  • Database. Whether lenders must check a statewide system before lending.

The main ways states regulate payday loans

State approaches fall into a few broad models:

  1. Prohibition or tight rate caps. These states bar payday lending or cap small-loan interest low enough that single-payment payday loans aren't offered by licensed lenders. By our count, 21 states plus DC take this approach (verified October 2026).
  2. Permitted with limits. Most other states license payday lenders and cap the loan amount, the fee per $100, the number of rollovers and sometimes the number of loans per year.
  3. Installment models. Some states have replaced two-week payday loans with small-dollar installment loans repaid over several months.
  4. Database states. Several states require lenders to check a statewide database to enforce one-loan-at-a-time rules, total caps and cooling-off periods.

Because these models mix and change, check your specific state rather than relying on a general rule.

Federal rules that apply in every state

  • Military Lending Act. Active-duty servicemembers and covered dependents can't be charged more than a 36% Military Annual Percentage Rate on covered credit, including payday loans. Lenders also can't require arbitration or military allotments.
  • Truth in Lending disclosures. Lenders must show the finance charge, APR, payment schedule and total of payments in writing before you sign.
  • Electronic payments. A lender generally can't require automatic debits as a condition of credit, and you can stop a scheduled debit by notifying your bank at least three business days ahead.
  • Debt collection rules. Under the Fair Debt Collection Practices Act, collectors can't use false or misleading statements, such as threatening action they can't legally take.

Online payday lenders and state law

An online lender generally has to follow the law of the state where you live, not where the lender is based. That means it should hold any license your state requires, and its loans should fit within your state's limits on amount, fees and term. In CFPB v. CashCall, a federal appeals court declined to enforce a tribal choice-of-law clause and applied borrowers' state laws instead. Our network matches you only with lenders that serve your state. More in our tribal loans guide.

What if payday loans aren't offered in your state?

You still have options. In many states where payday loans aren't offered, licensed lenders make personal loans and installment loans within the state's rate rules. These spread repayment over several months and often reach higher amounts than a payday loan.

Our form works in every state: tell us how much you need, and we'll match you with lenders that offer products allowed where you live. See personal loan rates by state for your state's installment rules, then see if you qualify — it takes about 3 minutes.

Same $400 loan, different states

To see why state law matters, picture the same $400 request in three kinds of states. These illustrate the models above, not any specific state's numbers.

  • A state that permits payday loans with a $15-per-$100 fee cap: a two-week $400 loan has a $60 fee, so you repay $460. Rollover limits and a database check may apply.
  • An installment-model state: the $400 is repaid over several months in scheduled payments, with fees capped by state law.
  • A low rate-cap state: single-payment payday loans aren't offered, but licensed installment lenders may offer a small personal loan within the state's cap.

The table shows which model your state follows, and your state page explains the details.

Common questions about state limits

How many payday loans can I have?

Some states allow only one payday loan at a time, some cap the total you can owe, and some enforce limits through a database. See how many payday loans you can have.

What's the most I can borrow?

Many permitting states cap a payday loan around $500, while others set a different dollar cap or tie it to your income. See maximum payday loan amounts.

Can I renew a payday loan?

Rules range from no rollovers to a set number, and some states require a payment plan option instead. Your state page lists the rule.

How we keep this table accurate

Zebra Finance compiles state rules from state statutes and official publications and records the date each state was last verified. Laws change, sometimes mid-year. This page is general information, not legal advice. If you spot a rule that has changed, see about us to let us know, and we'll re-verify it against the official source. Ready to borrow? Use our state law lookup or go straight to the application.

Frequently asked questions

What states allow payday loans?

Payday loans are allowed, with limits, in most states, where licensed lenders make small, short-term loans under specific state laws. By our count, 21 states and DC prohibit them or cap rates low enough that typical payday loans aren't offered (verified October 2026). Use the table on this page for each state's current status.

What states don't allow payday loans?

Twenty-one states and the District of Columbia either ban payday loans or cap small-loan rates low enough that typical payday loans aren't offered, by our October 2026 count. The list changes as states pass new laws, so check the table, which shows each state's status and when it was last verified. Personal and installment loans may still be available there.

How are payday loans legal?

States that allow payday loans have passed laws creating a separate license for small, short-term loans with their own fee limits. Federal law doesn't ban payday loans, but the Military Lending Act caps covered credit for active-duty servicemembers and dependents at a 36% Military APR.

Are payday loans regulated?

Yes. States license payday lenders and set limits on loan size, fees, terms, rollovers and the number of loans. Federal laws require cost disclosures before you sign, protect covered military borrowers, govern electronic withdrawals and restrict abusive debt collection practices.

Can a payday lender from another state lend to me?

Generally only if it follows your state's law, which usually means holding any license your state requires and staying within your state's limits. Our network matches you with lenders that serve your state, so the offers you see are designed for where you live.

Sources

Related

Free · about 3 min · no obligationSee if you qualify