Don’t apply for a payday loan in Washington, DC before you know the facts.
A payday loan can seem like a lifeline when you have less-than-perfect credit and you’re looking to borrow a small amount of money, but if you’re a resident of the capital, you won’t be able to borrow. Read our guide to learn about your alternative options.
Are payday loans legal in Washington, DC?
No. Payday loans aren’t legal in Washington, DC under the Amended District of Columbia Code Section 28-3301. The capital caps interest at 24%, which is far lower than the interest charged by payday lenders in other parts of the US. Although they aren’t specifically banned, payday lenders choose not to offer loans because of the cap on interest.
What other borrowing options do I have in Washington DC?
While high interest payday lending is illegal in DC you can think about getting credit in other ways. Three options include:
- Installment loans. An installment loan is a short-term form of credit similar to a payday loan that’s paid back over a longer period of time. You’ll typically pay back an installment loan over a few months to a couple of years.
- Credit card cash advance. Depending on your situation, you could look into withdrawing cash from your credit line at an ATM. Your limit depends on your balance and comes with a high interest rate, similar to payday loans.
- Tribal loans. You could still have the option of getting a loan if you go through a tribal lender like Blue Trust Loans. Since these lenders are based on tribal land, they are considered a sovereign entity and are able to abide by their own laws.
- A loan connection service. Submitting your info through a connection service allows that provider to try and pair you with a suitable lender in its network. They may have small providers that can lend to you while still abiding to state laws.
A selection of loan connection services to compare
What if I can’t get a personal loan or credit card?
You have other options to consider if borrowing money from a creditor doesn’t work out for you. These include:
- Apply for an assistance program. Capital Area Food Bank Hunger Lifeline, The Utility Discount Programs and the Low Income Home Energy Program all help people when they’re in need. If you’re struggling to make ends meet, consider applying for one of these or the many other local area programs.
- Consider free debt management help. If you have multiple bills you need to take care of, a debt consolidation loan could help you bring them all together and lower the total cost of your payments. Find free debt management help online or in your area. You could also consider a paid debt settlement service.
- Find a credit counselor. While it won’t help you in the short term, a credit counselor can help you get your finances in order to make paying for future expenses easier. There are plenty of options to choose from, so don’t hesitate to do your research and find a good one.
- Get a side gig. You could consider making extra money with a side hustle. Some ideas include driving for a ridesharing service like Uber or a food delivery service. If you have a skill that’s in high demand, you could consider freelancing for things like graphic design or writing.
Why are payday loans illegal in DC?Due to the high cost of payday loans, lawmakers in DC have decided to prevent lenders from offering them to residents of Washington, DC. Many consumer advocate groups consider payday loans to be predatory with interest rates designed to keep people in debt.
Because of this, you won’t be able to get a payday loan in the capital.
Cash advance locations in Washington, D.C.
Cash advance locations near you in Washington, D.C
If you’d like to visit a physical store for a cash advance here are some options:
- ACE Cash Express. 6221 Georgia Ave NW, Washington, DC 20011
- ACE Cash Express. 5429 5th St NW, Washington, DC 20011
- ACE Cash Express. 3663 Georgia Ave NW, Washington, DC 20010
- ACE Cash Express. 1786 Florida Ave NW, Washington, DC 20009
- ACE Cash Express. 1515 U Street NW, Ste C-2, Washington, DC 20009
- Paradigm Funding & Payment. 1325 G St NW, Washington, DC 20005
- Check Cashing One. 3433 14th St NW B, Washington, DC 20010,
- A One Cash Inc. 3112 Mt Pleasant St NW, Washington, DC 20010
- Check Cash Depot. 1756 Columbia Rd NW, Washington, DC 20009
- ACE Cash Express. 601 H St NE, Washington, DC 20002
- ACE Cash Express. 1512 Benning Rd NE, Washington, DC 20002
- ACE Cash Express. 3903 Benning Rd NE, Washington, DC 20019
- ACE Cash Express. 1245 Good Hope Rd SE, Washington, DC 20020
- ACE Cash Express. 3829 Pennsylvania Ave SE, Washington, DC 20020
- ACE Cash Express. 2441 Good Hope Rd SE, Washington, DC 20020
- ACE Cash Express. 2922 Martin Luther King Jr Ave SE, Washington, DC 20032
- Check Cash One. 2529 Pennsylvania Ave SE, Washington, DC 20020