Learn how to get a short term loan in California
When you have unplanned expenses and are on a tight budget, a short term loan could be helpful, giving you quick access to money when you need it. These loans are regulated by state, and if you are a resident of California there are regulations put in place to protect lenders.
California state laws dictate how much you can borrow and how much interest lenders can charge, and the same laws apply to online and store-front lenders. Find out about these laws, and everything else you should know about California payday loans.
Check into Cash Loans
Check into Cash allows you to directly apply for a payday loan and have your cash when you need it.
- Min. Loan Amount: $50
- Loan Term: Varies by state
- Turnaround Time: 1–2 business days
- Total Costs: Varies depending on the amount and your state of residency.
- Must be 18+
- No security needed
- Confidential and secure!
Are short term loans legal in California?
Yes, payday loans of up to $300 are legal in California. All payday lenders must have a valid state license permitting them to provide loans to residents. The California Financial Code 23000 and the California Civil Code 1789.30 govern these loans.
Contact the California Department of Business Oversight if you need to lodge a complaint against a lender. You can call the DBO at 1-866-275-2677 or file an online complaint form.
Consider these lenders for short term loans in California
Check out these short term lenders to see if they operate in your state.
Check the websites of any providers you’re interested in to confirm they operate in your state of residence.
- If the provider quotes a different rate to the one above please let us know
Why a short term loan could work for you
- Get money quickly. If you need quick access to up to $300, a short term could help you out. Lenders give you approved funds on the day you apply, or by the following business day.
- Use the money for what you need. What you do with your loan is up to you, so long as it’s for a legitimate purpose. You can use this money to pay bills, buy groceries or repair your car or house.
- Apply with bad credit history. You can apply for a short term loan even if you have bad credit. Lenders will look at your ability to repay the loan when considering your application.
What fees can I expect with a California short term loan?
California short term lenders are restricted as to how much they can charge you in rates and fees.
- Annual Percentage Rate (APR). The maximum APR for a 14-day loan up to $100 cannot exceed 459%.
- Fees and charges. Lenders cannot charge more than 15% in deferred deposit transaction fees of the check’s face amount. If you request $300, and your lender charges the maximum of 15%, you will only receive $255 in cash, as the balance counts towards the fee.
- Extension fees. State laws in California do not permit the rollover of a payday loan, so these fees do not apply. Lenders can, however, give an extension on repayment, but they cannot charge additional fees for extending the loan.
- Collection fees. If your payment is not processed because of insufficient funds, expect to pay an NSF fee of $15.
- Early repayment fee. You can repay your loan ahead of time without having to pay an early repayment fee or penalty.
How can I apply for a California short term loan?
You can apply for a short term loan online or store location. You can apply online from just about anywhere, as long as you have the documents to prove that you’re a resident of California. Remember that in order to obtain a California short term loan, you must write a personal check for the requested amount to the lender.
You’ll also have to meet the following criteria:
- You should be at least 18 years of age
- You should be an American citizen or a permanent resident of the US
- You should have a regular source of income
To complete your application successfully, prepare to submit some basic information:
- Your name, date of birth, social security number and a valid form of ID such as your driver’s license or passport
- Your residential address, email address and phone number
- Details about your employment and income
- If you’re applying online, details of your existing checking account
Important information about payday loans
While payday loans can be beneficial for some, they aren’t always the best option for everyone. Follow the link for more information on payday loan alternatives.
Frequently asked questions
What is the maximum loan term?
The loan terms of payday loans in California cannot exceed 31 days.
Can I have more than one short term loan at a time?
No. You have to repay one short term loan completely before you can apply for another one.
Is there a legally required cooling-off period between my repaying one short term loan and getting the next?
No. There is no cooling-off period requirement in California.
How long does it take to get approved for a short term loan?
Depending on the lender, you can receive the funds in less than 24 hours.
Can a short term lender initiate criminal action against me if I don’t repay the loan?
No. State regulations prohibit lenders from initiating criminal action against borrowers who default on their loans.
Can a short term lender ask for collateral and/or require the purchase of another product as a condition of providing the loan?