Loans in Pennsylvania: payday, personal & title loan laws (2026)
Payday Loans Not available
Payday loans are effectively prohibited in Pennsylvania by usury law.
Personal Loans
Licensed consumer discount companies: $9.50 per $100 yearly add-on plus fees; unlicensed: 6%.
Title Loans Not available
Title loans are not licensed in Pennsylvania and are subject to the same usury limits.
Pennsylvania at a glance
Counties in Pennsylvania
Cities in Pennsylvania
Frequently asked questions
Are payday loans legal in Pennsylvania?
Payday loans are effectively prohibited in Pennsylvania by usury law. Lenders without a license may charge no more than 6% a year on loans of $50,000 or less, and licensed consumer discount companies are held to rates far below payday pricing. Pennsylvania does not license payday lenders.
How much do payday loans cost in Pennsylvania?
No payday fee schedule exists. Unlicensed lenders: 6% a year on loans of $50,000 or less. Licensed consumer discount companies: see the personal-loan section.
Are title loans legal in Pennsylvania?
Title loans are not licensed in Pennsylvania and are subject to the same usury limits. In 2024 the Department ordered TitleMax to show cause, alleging more than 5,000 Pennsylvania loans above the 6% cap by a lender never licensed under the Consumer Discount Company Act.
What interest can title lenders charge in Pennsylvania?
6% a year for unlicensed lenders on loans of $50,000 or less.
Is there a cap on personal loan interest rates in Pennsylvania?
Licensed consumer discount companies: $9.50 per $100 yearly add-on plus fees; unlicensed: 6%.
Do personal loan lenders need a license in Pennsylvania?
Yes. A Consumer Discount Company license from the Secretary of Banking is required to make or negotiate loans of $25,000 or less at charges above what an unlicensed lender may charge. This applies whether acting as principal, employee, agent or broker.