If you’re in need of a short-term loan and you’re a resident of Montpelier, consider your other options.
Being short on cash and having a less-than-perfect credit score can make being approved for a loan difficult. Short-term loans may seem like a good option, but lawmakers in Vermont have banned short-term lending in all its forms. If you need a little extra money, our guide will help you find alternative ways to get it.
So I can’t get a loan if I live in Montpelier, Vermont?
Unfortunately, no. All providers of small loans in Montpelier have to abide by Vermont Statutes Annotated Title 9-41a. According to this law, consumer loans can’t have an APR of more than 18%. Because payday lenders typically charge much higher interest rates, you won’t be able to take out a short-term loan in Montpelier.
A list of installment loans you may want to consider
Why are payday loans illegal in Vermont?Short-term loans are notorious for their high interest rates. Vermont lawmakers have capped the maximum APR a lender can charge at 18% to deter payday lenders, which often charge interest in the hundreds, from offering loans in the state. While you may still be able to take out a small loan depending on your credit, you won’t be able to visit a payday loan shop or an auto title pawn location to get quick cash. This is to protect consumers from predatory practices and help people stay out of long-term debt.
What are some other options besides installment loans?
A short term loan may be a bust, but there are other options out there. Some you may have tried, but all may be worth looking into.
- Negotiate with your creditors. It may not be the easiest method, but contacting your creditors and asking for a payment extension or a reduced monthly payment can be the difference between being able to afford your debt and drowning in it. Your creditors want to get paid, so see if you can make an arrangement that benefits both parties.
- Consider a credit card cash advance. If you have a credit card, you may be able to take out an advance on the remaining credit limit. This can be a costly option, but it will give you the money you need quickly and without much hassle. Most cards even allow you to withdraw from an ATM.
- Find some local social services. Look into public services for assistance with heating costs, food and housing. Vermont has programs like 3SquaresVT (food stamps), Seasonal Fuel Assistance and Reach Up Vermont that can help you when you’re struggling to meet the everyday cost of bills.
Where to get cash advances in Montpelier
Where to get a a cash advance in Montpelier, VT?
If you’re looking for cash advance locations in Montpelier, here are some options:
- People’s United Bank. 112 State St, Montpelier, VT 05601
- Vermont Community Loan Fund. 15 State St, Montpelier, VT 05602