Payday Loans and Online Cash Advance: depending on your needs, situation and location – you have to take into account your State rules on Personal Loans.
Depending on your needs, situation, preferences and location, there are several types of Personal Loans available. Regardless the final choice, or the short-list of choices, you have to take into account – beside your personal situation – federal rules and regulation, and state by state separate ones. While the most important ones are related to payday loans – for example only 32 states allow without special restrictions such loans, there are also many other restrictions and warnings related generally to personal loans.
Regulatory aspects: State rules on Personal Loans
What are the aspects of a loan that can and usually are regulated? Let’s take them one by one:
- Purpose or usage of the loan money – most lenders use some extent of restrictions for personal loans, such as for investments, student loans etc.
- Size of the loan – minimum and / or maximum amount that can be borrowed.
- Duration of loans – period in time that a loan is payed back.
- Interest rate type – fixed vs. variable rate loans.
- Interest rates high values – in many states there is a maximum interest rate that can be applied to borrowers.
- Origination fees and prepayment penalties.
- Restrictions for those who wants to invest in P2P lending.
This article is meant to open the specific section of the website – State by State rules and regulations related to Personal Loans. All the aspects laid out above will be extended in separate articles. We will take each category of rules that can be applied and explain the situation in each state.
We will make distinct descriptions based on each personal loans type, including online loans and cash advance or credit cards, and split the also state by state. And last, but not least, we will give you one clear and well structured table of rules and restrictions for each state. You will be able – if you prefer to get quick info, to go straight to your state page and see exactly what you can do and what you cannot do.
One more thing: do you know what you can do in case something goes wrong – at least in your opinion, with a loan you took (or a loans that was denied to you)? We will take a very good care to explain this to you, starting with the existence, roles and tools you get with the Consumer Financial Protection Bureau.
The three main roles the Bureau plays for the consumers are:
- Educate – providing life-long education tools and studies for loans consumers, but also for lending companies responsibilities.
- Empower – giving people answers to their questions, tips for choosing and using a loans, financial options and choices etc.
- Enforce – is what happens when a lender or a practice of a lender doesn’t respect the law and the consumer rights.
What is our role we took in front of you regarding these topics? We aim to help you be prepared, make informed choices and avoid traps and mistakes that can lead you either in deep financial problems, or in need to address the Bureau. The best case scenario for you is not to be in a position to claim repairs or place complaints, isn’t it?
Getting a fast loan is easy if is legal. And is legal in only 32 states. But not all the other states are saying No to payday loans. Some do, some are just placing rules to help people not getting in too much trouble. Anyway, there are so many legal alternatives to payday loans.. Why worry?