Alabama Payday Loans
While payday loans are legal in Alabama, there are a few things you should know before you consider borrowing money. Alabama payday loans are useful for emergencies as long as you are borrowing responsibly.
Are Alabama Payday Loans legal?
Yes, you can get a payday loan in Alabama, they are legal. The law applies to both stores and websites. All lenders are required to have a special license. In Alabama, payday loans can only lend $500 and the maximum APR (Annual Percentage Rate) for $100 is 456.25%.
Repayment terms are as few as 10 days and up to 31 days. However, only one rollover is permitted!
Why get a payday loan in Alabama?
Here are some of the characteristics of a payday loan in Alabama
- If you have bad credit you can still apply. Payday loans in Alabama have more flexibility than banks. If you can make your repayments you can apply for a payday loan in Alabama.
- Easily apply. It is as easy to apply for a short term payday loan in Alabama from a website as it is to apply from a store in your town. It simply means you can apply from anywhere as long as you have documents that prove that you are a resident of the great state of Alabama.
- Easily receive cash. If you choose to get your payday loan online, money is usually transferred the same day.
- Use the money any way you like. As you may already know, you can use the money in any way you want. For example, you can use the case for a car payment, to pay an important bill or for a medical emergency.
Rates and Terms for Alabama
Loan Amounts: The maximum loan amount for Alabama residents is $500.00.Based on your income and other factors, loan limits will be determined on an individual basis.
Loan Balances: Loan balances, including fees, cannot exceed 25 per cent of Gross monthly income up to $500.00.
Term of Loan: Minimum 10 days – Maximum 31 days.
Permitted Fees: Up to 17.5 per cent of the amount financed the Annual Percentage Rate (APR) will vary depending on the length of your loan.
Maximum Loan Amount:
The maximum amount payday lenders are allowed to offer is $500 with a maximum APR of 456.25%. Terms can range from 10 to 31 days, and you can rollover your loan once.