Ohio Payday Loans

If you are looking for a payday loan or a cash advance in Ohio, you should be aware of the laws, rules and regulations that govern this type of lending. Payday loans are also known as short-term loans, and they are subject to the Ohio Revised Code Ann. 1321.35 et seq. Here are some of the main points you need to know before you borrow:

- The maximum amount you can borrow is $1,000 from one or multiple lenders .

- The minimum loan term is 91 days and the maximum loan term is one year .

- The interest rate is capped at 28% per year  .

- The annual percentage rate (APR) cannot exceed 60%, which includes fees and charges .

- The monthly payment (including fees) cannot exceed 6% of your gross monthly income or 7% of your net monthly income for loans less than 90 days.

- You have to sign a declaration that you do not have more than $2,500 in short-term loans, and lenders have to verify this.

- You can refinance your loan once, but only after you have paid at least 30% of the principal amount.

Payday loans can be a convenient way to get cash quickly, but they also come with high costs and risks. You should only borrow what you can afford to repay and avoid taking out multiple loans at the same time. If you have trouble paying back your loan, you may face additional fees, penalties and legal action. You should also check the license and reputation of the lender you choose, and read the terms and conditions carefully before you sign anything.

If you need more information or assistance with payday loans in Ohio, you can contact the Ohio Department of Commerce Division of Financial Institutions at (614) 728-8400 or visit their website at https://www.com.ohio.gov/fiin/.