If you’re a resident of Nevada, a payday loan can get you money in a hurry.
An unexpected bill or emergency expense could have you strapped for cash. If you’re considering a payday loan, learn about the regulations in place before you borrow so you can make a smart decision when it comes to your financial future.
Are payday loans legal in Nevada?
Yes, payday loans are legal in Nevada. Payday loans are governed by Nevada Revised Statutes 604A.010 et seq., which requires lenders to be licensed and to abide by Nevada short-term lending law. A lender can’t provide a loan exceeding 25% of a borrower’s gross monthly income with a maximum loan term of 35 days, with the option of a 60-day extension. A payday installment loan, however, can last up to 90 days, although there is no extension allowed.
You may choose to cancel your loan before the end of the next business day.
Lenders required to check if borrowers can afford loansIn 2017, Governor Sandoval signed AB 163 into law. This bill forces lenders to make sure a person has the ability to repay a loan before they are approved. This is to help consumers who may not be able to pay back what they borrow and is part of a greater trend to increase regulations on payday lenders so consumers have a better chance of repaying instead of falling into debt.
Consider these lenders for a payday loan in Nevada
Check the websites of any providers you’re interested in to confirm they operate in Nevada.
What fees and charges do Nevada short term loans come with?
Nevada payday loan laws have a bearing on how much your loan may end up costing. Here’s what you need to know:
- Maximum finance rate and fees: There is no limit on the finance charge or APR for a payday loan. After default, a lender cannot charge interest exceeding the prime rate at the largest bank in Nevada plus 10%.
- NSF fees: A lender may charge two non-sufficient funds fees of $25 each and one $25 fee for a closed account.
- Court costs: If you default, you may be required to pay court costs and reasonable attorney fees.
- Rollover fees: There are no specifics surrounding rollover of payday loans in Nevada, but you should expect to pay the financing fees for taking out a new loan as well as any other fees to cover the cost of the previous loan.
How do I apply for a payday loan in Nevada?
The application process is relatively easy provided you have everything you need close by. A lender will require tht you be at least 18 year old, an American citizen or permanent resident and have a regular source of income before you apply, and you will likely need to supply your Social Security number and access to your checking account (if you’re applying online).
Have a valid form of ID close by and information about your income, employer and personal details while applying to keep things quick.
What should I consider before taking out a payday loan?
Local resources include the Energy/Utilities Emergency Assistance program and Temporary Assistance for Needy Families (TANF). These can help cover some basic bills while you work on paying down your other debt.
You may also want to consider some alternate credit sources, such as a credit card cash advance, installment loan or a debt consolidation loan. These have longer terms to pay back what you owe and often come with slightly lower interest rates than a short-term payday loan.
If you’re having a tough time paying bills or an emergency expense, a payday loan might be a helpful way to make it between paychecks. As long as you know how much it will cost and budget for it, you’ll be able to avoid extra debt and help yourself get back on solid footing.