If you’re considering a short term loan in Florida, make sure you understand what you’re getting into.
Short term loans, also known as payday loans, are used to get small-dollar loans with relatively small terms. If you’re looking to supplement your funds until your next paycheck, or need to clear up an emergency, you may be considering taking one out. Take a look through this guide to get a better picture about what Florida short term lending is like.
Are payday loans legal in Florida?
Yes, payday loans in Florida are legal. Florida Statutes Chapters 560.402 to 560.408 govern the functioning of payday lenders. The law refers to these loans as deferred payment transactions, where lenders provide funds in exchange for checks from borrowers, which they agree to hold for predetermined deferment periods. The laws state that the maximum you can borrow is $500, while the loan term can vary in between 7 and 31 days.
If you wish to get more information about the legalities of such loans or if you wish to file a complaint you can get in touch with the Florida Office of Financial Regulation.
A selection of loans you can apply for
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 should you consider taking out a Florida short term loan?
Here are some features of short term loans to consider when you’re making your decision:
- Bad credit is alright. Short term lenders tend to apply slightly less stringent lending criteria when compared to banks. Instead of just looking at your credit score, they take your existing financial situation and ability to pay into account. If you have a regular source of income you can apply for a short term loan even if you have poor or bad creditworthiness.
- Applying is easy. Some Florida short term lenders provide storefront loans, where you simply have to visit one to apply. Some lenders that provide online short term loans for Florida residents verify borrowers’ credentials online, doing away with the requirement of sending or faxing documents.
- Get money quickly. If you apply in-store and the lender approves your application you can get your hands on the money straightaway. With online loans, some lenders provide access to funds on the same day or the following business day, and a few may have you waiting a little longer.
- Use the money for any purpose. What you choose to do with the money you get is basically up to you. You can use this money to travel, to throw a party, to pay bills, to repair your car or to get by during a rough patch.
What fees and charges do Florida short term loans come with?
. Here’s how much your cash advance in Florida can attract in fees:
- Finance rate and fees. A payday lender in Florida cannot charge more than 10% of the loan amount as fees. The lender can also charge a verification fee which must not exceed $5. The maximum APR for a 14-day $100 loan is 429%, and the finance charge for a 14-day $100 loan cannot exceed $16.11.
- Collection fees. You’ll have to pay all charges that any financial institution may impose on your lender.
- Rollover fees. Florida payday loans laws don’t permit rollovers, so the issue of paying rollover fees does not arise.
Need to apply for a short term loan in Florida? Here’s how
You can apply for a Florida short term loan by visiting a storefront or going online, and in both cases you’ll have to meet some eligibility criteria, as listed below:
- 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.
Have any more questions about Florida short term loans?
How many short term loans in Florida can I hold concurrently?
You can have only have one outstanding short term loan at any time.
Is there a cooling off period between payday loans in this state?
Yes, there is, but it is only 24 hours.
What if I cannot repay my Florida cash advance in time?
Inform your lender in person and you can get 60 more days to repay the loan without paying any additional fees or charges.