Thinking of getting a payday loan in Iowa? Make sure you understand how they work.
Iowa is the 26th largest state in the US and the 30th most populous. The second half of the 20th century saw this state transform from a primarily agrarian economy to one that relied on manufacturing, government services, finance and insurance services, biotechnology, and production of green energy. This helped Iowa deal with the recession in the late 2000s better than most other American states.
In 2005, the gross state product of Iowa was $113.5 billion. Its per capita income in 2006 stood at $23,340. In December 2015, unemployment rate of Iowa was 3.4%.
Many residents of Iowa look for payday loans. This guide will help you understand how they work as well as how you can choose the right one.
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 upon 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!
A selection of payday lenders in Iowa
Are payday loans legal in Iowa?
Yes, payday loans are legal in Iowa. Iowa Code Chapter 533D, referred to as the Delayed Deposit Services Licensing Act, governs the functioning of all Iowa payday lenders. Operating as a delayed deposit services business (one which offers payday loans and payday advances) requires getting a license from the superintendent of banking in Iowa. Only operators that are physically located in Iowa can provide payday loans to residents of this state.
Iowa payday loan laws stipulate that you cannot borrow more than $500 through any payday lender at one time. You cannot repay, refinance, or consolidate a payday loan using proceeds from another payday loan provided by the same lender.
Why should you consider taking out an Iowa payday loan?
Here’s why you might consider taking out a payday loan:
- Bad credit is alright. If you have poor or bad credit rating, your chances of getting a loan from a bank or a conventional lender are slim. However, you can apply for a payday loan because providers of these loans pay due attention to your existing financial situation.
- Multiple options. Given the legal status of payday loans in Iowa, you have multiple options to choose from. These include lenders who have physical stores as well as ones who only operate online
- Get money quickly. If you need cash fast in Iowa, a payday loan can work in your favor. In-store applicants can receive approved funds as soon as they accept their loan contracts. If you submit an online application the money can get to your bank account within one business day.
- Use money for different purposes. What you do with the money you get through an Iowa payday loan is basically up to you. You can use the money to travel, to repair your vehicle, to pay bills, or to get by after a temporary setback.
What fees and charges do Iowa payday loans come with?
State laws define the fees that payday loan companies can charge in Iowa. Here’s what your payday loan can end up costing:
- Maximum finance rate and fees. A lender can charge a $15 fee for a loan of up to $100, and $10 for each additional $100 you borrow. The maximum finance charge for a 14-day $100 loan is limited to $16.67. The maximum APR for a 14-day $100 loan is 433%.
- Collection fees. A lender can charge one NSF fee of $15.
- Rollover fees. Under Iowa law you cannot roll over a payday loan, so rollover fees are irrelevant.
How can I apply for an Iowa payday loan?
Cash advance companies in Iowa let you apply in-store as well as online. To apply, you’ll have to meet some eligibility criteria, which include:
- You are at least 18 years old
- You are an American citizen or a permanent resident of the US
- You have a steady source of income
Applying requires that you provide basic information:
- Your name, residential address, email address, and phone number
- Your social security number and a valid form of ID such as your driver’s license or passport
- Details about your employment
- Details about your income and pay schedule
Important information about payday loans
While payday loans can be beneficial for many people, they aren’t always the best option for everyone. Follow the link for more information.
Have any more questions about Iowa payday loans?
How much time do I get to repay a payday loan in Iowa?
The maximum loan term of payday loans in Iowa is 31 days.
How many outstanding payday loans can I have at the same time?
You can have up to two payday loans concurrently.
Who should I contact to file a complaint about a payday lender in Iowa?
You should get in touch with the Iowa Division of Banking.