How much can I borrow with a payday loan?

When it comes to payday loans, the amount you can qualify to receive depends on a number of different factors, including income level and state of residence. You may be able to receive a higher maximum loan amount if you apply for payday loans online rather than applying in-store. Depending on whether or not a payday lender is a member of the CFSA, the maximum amount may be subject to other terms. When visiting a payday lender’s store or website, it should be easy to determine the maximum payday loan amount available to you prior to submitting your information.

Income Level
Payday loans are income-based loans, which is why lenders will request proof of steady employment. How much you earn will determine the initial amount you are able to receive. This keeps your payday advance loan from exceeding the amount you can afford to repay in one payday, not including other expenses.

State of Residence
This could affect the amount of a payday loan in one of two ways:

  • The borrower’s state of residence
    A CFSA payday loan provider will abide by the laws in each state in which they do business. The laws regulating payday loan amounts in the state where you live will be what adds to or detracts from your maximum amount. A CFSA lender will offer you the maximum amount your state allows, or less depending on your income.
  • The lender’s state of residence
    Non-CFSA payday lenders may practice what is called “choice of law.” This allows them to apply to your payday loan the rules and regulations of the state in which they originate, instead of the laws of the state in which you live. This is especially true of online lenders. Choice of law can potentially lead to maximum loan amounts that are not within your means.