Rhode Island Payday Loan Amount
- Borrowers can apply for loans of up to $500.
- In Rhode Island, a person can only receive three loans per year, each of which cannot exceed $500.
Rhode Island Rates, Fees, and Other Charges
"No licensee shall: (4) Charge deferred deposit transaction fees in excess of 10% of the amount advanced." (R.I. Stat. Ann. 19-14.4-4 et seq.)
In Rhode Island, the real annual percentage rate (APR) for payday loans can reach 261%.
"Typical APR based on the average rate for a $300 loan advertised by largest payday chains or as determined by the state regulator, where applicable," according to the Center for Responsible Lending 2019.
How much does a $200 payday loan cost in Rhode Island?
With a minimum term of 13 days:
Total Interest Paid: $200*261%*(13/365) = $18.6
Total Payments: $200+$18.6 = $218.6
The Maximum Payday Loan Term in Rhode Island
- In Rhode Island, the minimum loan term is 13 days, but there is no maximum term.
- A loan can only be rolled over once.
Since July 2020, the Consumer Financial Protection Bureau (CFPB) has changed the rule so that lenders are no longer required to check a borrower's ability to repay a loan. Be cautious, assess your financial situation, and avoid falling into a debt trap.
- Lenders are not permitted to engage in any criminal activity against borrowers.
- To learn more about the state's payday lenders, go to the Rhode Island Department of Business Regulation.