New York Payday Lender Laws

Are you looking to apply for a New York online loan or payday loan? Here are some of the things you need to be aware of.

New York State has made payday loans illegal. The state prohibits the making of payday loans in-person, through a phone line or online. It is unlawful for a debt collector or to try to collect any payday loan debt. payday loan new york lending is also illegal in New Jersey.

However, you can take out a small amount of money in New York from a registered lender and the rates will be capped at 25 percent APR.

The Department of Financial Services is the authority to regulate you can turn to when you think payday loans are being offered in New York.
Payday loans are not legal in New York.

The loan's short-term nature means that the borrower may not be able to pay back the loan in time. This can leave borrowers in debt.
Borrowers can extend or renew loans if the loan cannot be repaid within the agreed term. Every transaction is subject to fees.
The APR on payday loans are extremely high, around 400% or higher;
If the account of the borrower isn't in good standing and has the required amount, this results in additional charges as a result of an the fee for insufficient funds.

You are still able to get other types of online loans

New York law prohibits payday loans, but other types of loans may be offered.

Personal loans on the internet can be used to obtain in addition to credit card or traditional loan from the bank.

Here, you will see all of the online loan options available in New York.
New York Laws that Regulate Lending

It is illegal in the state of Washington to cash post-dated checks. Before a lending business can start its operations they must be registered with a license.

The laws of the state impose an upper limit on loans of 25% and not more than that. The New York banking law has set a cap on civil usury that equates 16% per year.

Before you apply for any credit, it is recommended to take the time to read all documentation. Also make sure you have a plan to repay your loan on time to avoid accumulating debt.

We look for lenders who are honest and have a track record of loan success and happy customers. We are constantly improving our analysis, but we are confident of what we can offer the market.

To find the top personal loan available in New York, use our tool for comparing loans.