Michigan Payday Loan Laws and Regulations

Find out if short-term Payday Loans are legal in Michigan and what amounts, interest rates and repayment terms are set by the state's Legislation.

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payday loans Rates and Terms

State Legal Status Maximum Loan Amount Minimum Loan Amount Maximum Loan Term Minimum Loan Term Repayment Term Maximum APR Minimum APR Average APR Finance Charges Cooling-off Period
Alabama Legal $500 $100 31 day(s) 10 day(s) 10-31 days 456.25% N/A 300.00% 17.5% of the amount advanced 1 business day
Alaska Legal $500 N/A N/A 14 day(s) N/A 520.00% N/A N/A 15% of the amount advanced 14 business days
Arizona Available (with some restrictions) N/A N/A N/A N/A N/A 36.00% N/A N/A N/A N/A
Arkansas Illegal N/A N/A N/A N/A N/A 17.00% N/A N/A N/A N/A
California Legal $300 N/A 31 day(s) N/A up to 31 days 460.00% N/A N/A 15% of the amount advanced None
Colorado Legal $500 N/A N/A 180 day(s) N/A 36.00% N/A N/A <$300 = 20$ 
>$300 = 20$ + 7.5% of any excessive amount
None
Connecticut Illegal N/A N/A N/A N/A N/A 30.03% N/A N/A  $17 per $100 up to $600; $11 per $100 up to $1,800; add-on interest N/A
Delaware Legal $1000 N/A 60 day(s) N/A 60 N/A N/A 521.00% Not limited None
District of Columbia Available (with some restrictions) N/A N/A N/A N/A N/A 24.00% N/A N/A N/A N/A
Florida Legal $500 N/A 31 day(s) 7 day(s) 7 - 31 days 419.00% N/A 304.00% 10% for every $100 24 hours
Georgia Available (with some restrictions) N/A N/A N/A N/A N/A 10.00% N/A N/A N/A N/A
Hawaii Legal $600 N/A 32 day(s) N/A 32 days 459.00% N/A N/A Not more than 15% of the loan amount   N/A
Idaho Legal $1000 N/A N/A N/A N/A 652.00% N/A N/A N/A None
Illinois Legal $1000 N/A 120 day(s) 13 day(s) 13 - 120 days 403.00% N/A N/A $15.50 for $100 borrowed for 14 days 7 days
Indiana Legal $605 $50 30 day(s) 14 day(s) 14 - 30 days 390.00% N/A N/A $15 for $100 borrowed for 14 days 7 days after 6 consecutive loans
Iowa Legal $500 N/A 31 day(s) N/A up to 31 days 433.00% N/A 337.00%  $15: $0-$100 on face amount of check; $10 per $100 thereafter None
Kansas Legal $500 N/A 7 day(s) 30 day(s) 7 - 30 days 390.00% N/A N/A 15% of a loan None
Kentucky Legal $500 N/A 60 day(s) 14 day(s) 14 - 60 days 460.00% N/A N/A $15 per $100 on face value of check + $1 database fee None
Louisiana Legal $350 N/A 60 day(s) N/A up to 60 days 780.00% N/A 391.00% 16.75% of face-value of check, + $10 documentation fee (After default: months 1-12: 36% per year; months 13 and beyond: 18% per year) None
Maine Available (with some restrictions) $2000 N/A N/A N/A N/A 30.00% N/A N/A $5 for amounts financed up to $75; $15 minimum charge for amounts financed of $75.01-$249.99; or $25 for amounts financed of $250 or more N/A
Maryland Available (with some restrictions) N/A N/A N/A N/A N/A 33.00% N/A N/A N/A N/A
Massachusetts Available (with some restrictions) N/A N/A N/A N/A N/A 23.00% N/A N/A N/A N/A
Michigan Legal $600 N/A 31 day(s) N/A up to 31 days 390.00% N/A N/A 15% - 11% of the loan amount None
Minnesota Legal $350 N/A 30 day(s) N/A up to 30 days 390.00% N/A 200.00%  $5.50: $0-$50; 10%+$5: $51-$100; 7% (min. $10) + $5: $101-$250; 6% (min. $17.50) + $5: $251-$350 (After default: 2.75% per month) N/A
Mississippi Legal $500 N/A 30 day(s) N/A up to 30 days 520.00% N/A N/A Under $250: $20 per $100 advanced; $250-500: $21.95 per $100 advanced N/A
Missouri Legal $500 N/A 31 day(s) 14 day(s) 14 - 31 days 1950.00% N/A 443.00% maximum 75% of the initial loan amount  None
Montana Legal $300 $50 31 day(s) 14 day(s) 14 - 31 days 36.00% N/A N/A $1.39 for a $100 loan given for 2 weeks None
Nebraska Legal $500 N/A 34 day(s) N/A up to 34 days 460.00% N/A N/A  $15 per $100 None
Nevada Legal N/A N/A 35 day(s) N/A up to 35 days N/A N/A N/A N/A N/A
New Hampshire Illegal $500 N/A 30 day(s) 7 day(s) 7 - 30 days 36.00% N/A N/A $1.38 for $100 FOR 14 days 60 days
New Jersey Available (with some restrictions) N/A N/A N/A N/A N/A 30.00% N/A N/A N/A None
New Mexico Available (with some restrictions) $2500 N/A 35 day(s) N/A up to 35 days 416.00% N/A N/A $15.50 per $100 and a $0.50 verification fee per $100 10 days
New York Illegal N/A N/A N/A N/A N/A 25.00% N/A N/A N/A N/A
North Carolina Available (with some restrictions) N/A N/A N/A N/A N/A 36.00% N/A N/A N/A N/A
North Dakota Legal $500 N/A 60 day(s) N/A up to 60 days 520.00% N/A N/A 20% of the amount advanced 3 days
Ohio Legal $1000 N/A 91 day(s) 365 day(s) 91 days - 1 year 28.00% N/A N/A 28% 90 days
Oklahoma Legal $500 N/A 45 day(s) 12 day(s) 12 - 45 days 390.00% N/A N/A <$300 = $15
>$300 = $10 for every additional $100
2 business days after 5 consecutive loans
Oregon Legal $50000 N/A 60 day(s) 31 day(s) 31 - 60 days 36.00% N/A N/A 36% APR 7 days
Pennsylvania Available (with some restrictions) N/A N/A N/A N/A N/A 6.00% N/A N/A N/A N/A
Rhode Island Legal $500 N/A N/A 13 day(s) not shorter than 13 days 260.00% N/A N/A 10% of the amount advanced None
South Carolina Legal $550 N/A 31 day(s) N/A up to 31 days 390.00% N/A N/A 15% of the amount advanced 2 business days after 8 consecutive loans
South Dakota Illegal $500 N/A N/A N/A N/A N/A 36.00% N/A $1.39 for a $100 loan given for 2 weeks N/A
Tennessee Legal $500 N/A 31 day(s) N/A up to 31 days 459.00% N/A N/A 15% of the amount of the check 3 days
Texas Legal N/A N/A 180 day(s) N/A up to 180 days 410.00% N/A N/A >$30 = $1 for each $5
$30 – $100 = 1/10 of the loan amount + $3 /mo (<$35)
$35 – $70 = $3.50/mo + $4/mo (>$70)
>$100 = $10 + $4/mo for each $100
N/A
Utah Legal N/A N/A 70 day(s) N/A up to 70 days 658.00% N/A N/A N/A N/A
Vermont Illegal N/A N/A N/A N/A N/A 18.00% N/A N/A N/A N/A
Virginia Legal $500 N/A 30 day(s) N/A up to 30 days 687.00% N/A N/A 36% annual interest + $5 verification fee + 20% of loan 1 day
Washington Legal $700 N/A 45 day(s) N/A 45 days N/A N/A 390.00% <$500 = 15%;
>$500 = 10%
None
West Virginia Illegal $2000 N/A N/A N/A N/A 31.00% N/A N/A N/A N/A
Wisconsin Legal $1500 N/A 90 day(s) N/A up to 90 days 574.00% N/A N/A 2.75% a month 24 hours
Wyoming Legal N/A N/A 30 day(s) N/A N/A 780.00% N/A 260.00% $30 (or 20% per month) N/A
Legal Payday Loans Online for Michigan residents

To apply for Payday Loans online safe it's better to study the laws, rules and regulations concerning short-term cash advance in Michigan. 

Compare top legit Payday Lenders in Michigan:

LendYou will help you get the cash you need when you need it. You can apply for Payday Loans, Installment Loans or Personal Loans, etc. Compare the lenders and get matched with the best one.

  • MIN Loan Amount: $100
  • MAX Loan Amount: $35000
  • Terms: Varied
  • Rates and fees: Starting at 4.99% APR
  • Turnaround Time: 1 business day
  • $100 - $1000 Payday Loans
  • $1000 - $5000 Installment Loans
  • $5000 - $35000 Personal Loans
  • 18 years of age or older
  • U.S. citizenship
  • Valid checking or savings account with direct deposit
  • Minimum regular income of $1,000 per month
  • Not be a regular or reserve member of the Air Force, Army, Coast Guard, Marine Corps or Navy (or be a dependent of someone who is,) serving on active duty under a call or order that does not specify a period of 30 days or fewer.
Pros
  • High up to $15,000 loan amounts. 
  • Minimal restrictions on how you can use your loan.
  • No collateral or guarantor.
  • Bad credit is OK. 
Cons
  • It's not a direct lender, so you'll need to clarify rates and terms with the company you are matched with. 

 

Check Into Cash offers Payday Loans, Title Loans, Personal Installment Loans and other money products at affordable rates with convenient repayment. 

  • MIN Loan Amount: $50
  • MAX Loan Amount: $3000
  • Terms: Vary by state.
  • Rates and fees: 261% to 782% APR
  • Turnaround Time: 1 business day
  • Payday Loans
  • Online Payday Loans
  • Title Loans
  • Installment Loans
  • Online Installment Loans
  • Line of Credit
  • Flex Loans
  • Other Services
  • Check Cashing
  • Bill Pay
  • Western Union 
  • U.S. Money Card
  • Cell Phone Top-Ups
  • Sell Us Your Gift Cards For Cash
  • Active checking account open for 90+ days
  • US citizen or permanent resident
  • Personal and work phone number
  • Valid email address
  • 21+ years old (19+ in Alabama)
  • Social Security number (for Indiana residents only)
Pros
  • You can get even as low as $50.
  • Quick funding on the next business day.
  • Money can be used for any personal needs.
Cons
  • Not available in every state.
  • APR can be more than 153.73% depending on your state.
  • High late payment fees.

 

Greenlight Cash created an online platform to connect consumers like you with reliable lenders across the country. They partner with a large network of professionals so you get a chance to work with one of them and meet the challenge of improving your financial situation in the most effective way. Once you tap submit, you get one step closer to receiving the funds.

  • Payday Loans
  • Installment Loans
  • Personal Loans
  • be a legal U.S. resident
  • be at least 18 years old
  • have a stable source of income
  • be currently employed
  • have an active bank account
Pros
  • Unrivaled flexibility and accessibility.
  • Predictable monthly payments

  • Quick and simplified borrowing process

  • Any credit is welcome
Cons
  • Not a direct lender.

 

GoGoPaydayLoans offers Payday Loans at affordable rates with convenient repayment terms. 

  • MIN Loan Amount: $100
  • MAX Loan Amount: $1000
  • Terms: Vary by state.
  • Rates and fees: 261% to 782% APR
  • Turnaround Time: 1 business day

$100 - $1000 Payday Loans

  • Active checking account open for 90+ days
  • US citizen or permanent resident
  • Personal and work phone number
  • Valid email address
  • 21+ years old (19+ in Alabama)
  • Social Security number (for Indiana residents only)
Pros
  • You can get even as low as $100.
  • Quick funding on the next business day.
  • Money can be used for any personal needs.
Cons
  • Not available in every state.
  • APR can be more than 153.73% depending on your state.
  • High late payment fees.

 

PaydayloansUSA.online offers Payday Loans, Installment Loans, Personal Loans and other money products at affordable rates with convenient repayment. 

  • MIN Loan Amount: $100
  • MAX Loan Amount: $35000
  • Terms: Vary by state.
  • Rates and fees: 4.99% to 1386% APR
  • Turnaround Time: 1 business day
  • Payday Loans
  • Installment Loans
  • Personal Loans
  • Active checking account open for 90+ days
  • US citizen or permanent resident
  • Personal and work phone number
  • Valid email address
Pros
  • Quick - no driving, waiting, faxing, paperwork.
  • More than 300 direct lenders.
  • High approval rate even for bad credit Payday Loans.
  • Online Payday cash advance with no collateral.
  • 24 / 7 online service.
  • No hard credit check Payday Loans.
Cons
  • High interest rates.
  • Available not in all the states.
  • Not many financial products offered.

 

Indyloan.com offers Personal Loans online at affordable rates with convenient repayment. 

  • MIN Loan Amount: $100
  • MAX Loan Amount: $5000
  • Terms: Vary by state
  • Rates and fees: Varied
  • Turnaround Time: 1 - 2 business day

Personal Loans

  • Active checking account open for 90+ days
  • US citizen or permanent resident
  • Personal and work phone number
  • Valid email address
Pros
  • Quick - no driving, waiting, faxing, paperwork.
  • High approval rate even for bad credit borrowers.
  • Online Payday cash advance with no collateral or co-signer.
  • 24 / 7 online service.
Cons
  • High interest rates.
  • Available not in all the states.
  • Only loans up to $5000 are available.

 

Table of Contents:

Are Payday Loans legal in Michigan?

Michigan Payday Loan Terms and Amounts

Michigan Payday Loans online laws

Michigan Payday Loans interest rates, fees and other finance charges

Michigan Payday Loans direct lenders regulations

Michigan Payday Loans consumer information

Legitimate Payday Loans online with NO credit check in Michigan

Does Michigan law allow Payday Loans for bad credit borrowers?

Legit Payday Loans in Michigan collection practices

Michigan Payday Loans news  - latest changes

Michigan Payday Loans historical background

Michigan Payday Loan alternatives

Are Payday Loans Legal in Michigan?

Short-term Payday Loans are Legal in the state of Michigan and are mostly regulated through Mich. Comp. Laws §§ 487.2121 et seq..

Deferred Presentment Service Transactions Act.pdf

The Payday Lending legislation covers all the parts of the process concerning:

  • Payday Loan amounts
  • Payday Loan repayment terms
  • Payday Loan online direct lenders
  • Payday Loan stores near you
  • Payday Loan interest rates and other fees
  • Payday Loan collecting practices
  • Payday Loan default penalties
  • The number of outstanding Payday Loans as well as a cooling-off period in-between etc.

Read more: Payday Loans in Michigan

The eligibility criteria for Payday Loans in Michigan are:

  • US residence
  • Minimum regular income of $1,000 per month
  • Valid checking or savings account with direct deposit
  • Phone number and e-mail address

Michigan Payday Loan Terms and Amounts

Michigan allows maximum $600 Payday Loan amount. It should be repaid within up to 31 days as you get your next paycheck. Earlier payments don’t contemplate any additional fees. You are likely to be charged $15 for a 14-day $100 loan taking into account the maximum APR of 390.00%.

However, there are no limits on the purpose of loan usage. Any urgent expenses, unforeseen bills, car repair, home repair, etc. may seem a sound reason to apply for a Payday Loan in Michigan.

If $600 is not enough, there are always other options to receive the necessary funds in Michigan:

  • Unsecured Installment Loans,
  • Bad Credit Personal Loans,
  • Title Loans,
  • Check Cashing,
  • Pawn Shops, etc.

Michigan Payday Loans online laws

Cash advances (payday loans) from both storefront and online lenders are legal in the state of Michigan. There are 650 payday lenders in Michigan. 

Reputable online lenders operating in accordance with all relevant state and federal laws can be applied to and compared on our platform using a simple online application form.

You state the necessary amount, fill in your personal information and get suitable offers from legit direct lenders. It takes only a few minutes and doesn't affect your credit score. 

In case Payday Loan lenders violate Michigan laws, you can address  The Department of Insurance and Financial Services, P.O. Box 30220 Lansing MI 48909, Phone: (877) 999-6442, https://www.michigan.gov/.

Michigan Payday Loans interest rates, fees, and other finance charges

The main part of the payday loan payment is mostly made up of the interest rate, or APR. The maximum APR that may be charged for short-term cash advance in Michigan is 390.00%. It means that if you borrow $100 Payday Loan for 14 days the finance charges will be 15% - 11% of the loan amount.

Besides, the total cost of a Payday Loan includes some additional fees. Michigan lending rules allow to charge $25 NSF fee.

The law obligates Michigan Payday Loan lenders to provide you with a written disclosure of all the rates and fees in the understandable language. You should read them carefully and if you agree to acknowledge the notification by signing the contract.

Michigan Payday Loans direct lenders regulations 

The majority of payday stores in Michigan are run by only a few large companies. With over 550 payday stores in the state, the top 10 largest lenders operate 86.5% of all payday stores, with the top three largest lenders operating over half (52.1%) of all stores.

Payday Lenders Targeting Vulnerable Michigan Communities.pdf

In recent years, payday lenders have drained over half a billion dollars in fees from Michigan consumers to out-of-state companies. By charging APRs over 340%, payday lenders cost Michigan consumers over $94 million in 2016 and over $513 million over the past five years. Over two-thirds of Michigan payday stores have headquarters out of state.
Michigan payday lenders disproportionately locate their stores in communities of color. While statewide hee is 5.6 payday stores per 100,000 people in Michigan, payday store concentrations are higher in census tracts that have more African-Americans and Latinos. Census tracts that are over 25% and 50% African-American and Latino are 7.6 and 6.6 payday stores per 100,000 people, respectively.
Michigan payday lenders disproportionately locate their stores in rural and low-income areas. Rural census tracts have a payday store concentration of 7.1 stores per 100,000 people, while census tracts below 80% of the state’s median household income have 9.1 stores per 100,000 people.

You should be careful not to come across any scams. Some unfair lenders can operate without license or under a different license and offer too expensive ‘payday loans’ under illegal conditions. Always check that the lender you are going to apply to works under Michigan state law.

Michigan Payday Loans consumer information

Besides amounts, rates and fees, consumers must be also well aware of other details of Payday Loans in Michigan. They include the availability and number of rollovers, extensions and repayment plan, a cooling-off period, any default penalties or additional fees, etc. Check out the table below to find the most essential information:

Rollovers or extensions An extension or repayment plan
Cooling-off period None
NSF fee $25 NSF fee
Criminal actions Prohibited

Look for more detailed information on the official Michigan state regulator website -  The Department of Insurance and Financial Services, P.O. Box 30220 Lansing MI 48909, Phone: (877) 999-6442.

Legitimate Payday Loans online with NO credit check in Michigan

Looking for a legal Payday Loan with No credit check in Michigan? You must understand the meaning of this phrase correctly at first. No credit check implies that a lender will not inquire about your credit history information from or send your borrowing data to any of the three major credit bureaus Equifax, Experian, and TransUnion.

If you don’t want to damage your credit history Michigan law allows you to apply for a Payday Loan with No credit check. But you should understand that a lender needs to check your creditworthiness at least in some way. He can perform a soft credit check when a lender pre-approves you for a loan and this inquiry will not appear on your credit report. Or there’re other ways to prove you can afford the cash advance. Payday Loan lenders use the tracking system to verify your debts, check your income, etc. And generally, they charge higher interest to lessen the risks.

Michigan Payday loans online no credit check is one of the easiest options of getting quick cash to cope with emergency financial requirements, especially for the people with poor credit.

Does Michigan law allow Payday Loans for bad credit borrowers?

The average credit score in Michigan is 677, placing it in the good range. But it doesn't mean that those who have a worse credit can't apply for a Payday Loan in Michigan. 

  • First of all, There're a lot of legit direct lenders in Michigan providing Payday cash advance to borrowers with both good and bad credit score.
  • Secondly, you can always find a cosigner to increase your chances of being approved for a bad credit Payday Loan.
  • Find out how to improve your credit score and do your best to do it fast. 
  • Or consider taking out a bad credit Installment Loan, or bad credit Personal Loan.

Legit Payday Loans in Michigan collection practices

If you can’t repay the loan amount plus interest on a due date it means you default the loan. When Michigan direct lender isn’t able to cash your check after the repayment term is over he may charge you an NSF fee. NSF fee means there are non-sufficient funds on your account. The amount charged is determined by the lender and stated in the agreement and may also be limited by the state’s Payday Loan law. In Michigan it’s $25 NSF fee.

What concerns collection practices, first of all, you may stay assured that any criminal actions are forbidden in Michigan. The law prohibits debt collectors from harassing or misleading a debtor.

If you think that your payday lender violates the Michigan Payday Loans law, you may file a written complaint with  The Department of Insurance and Financial Services, P.O. Box 30220 Lansing MI 48909, Phone: (877) 999-6442. The supervisor from that office interviews witnesses, reviews the payday lender’s business records and documentation, and determine whether to pursue civil or criminal charges.

Besides, if you are contacted by a Payday Lender for payment, remember that if the collector calls and threatens you on the phone, it's 99% an offshore company. You can ignore everything they say, just hang upon them. If they call back, you may consider letting them know that you know that they are outside of the United States and have no rights to make any collections. Even if the debt collector is in the United States you should know that you won't be arrested and no property of yours can be taken from you. They can’t do anything until they get a judgment against you. Now that most states have taken away their ability to sue debtors for three times the amount of the check, it is almost impossible for them to find attorneys to sue consumers.

Michigan Payday Loans news  - latest changes

Michigan lawmakers consider a bill that would allow payday lenders to offer longer term, higher dollar loans. Critics claim that it's going to puts the most vulnerable Michiganders at risk.

House Bill No. 5097 would allow payday lenders in Michigan to make loans of up to $2,500 with no limit on the length of the loan. It can let lenders provide loans to individuals who already have a high-cost loan, and would permit the rollover of short-term payday loans into a longer-term loan.

Michigan Payday Loans historical background

The history of Payday Loans in Michigan
2005 Deferred Presentment Service Transaction Act regulating all payday lending in the state was passed.
2006 Loans to the military were capped at 36% interest.
2017 It was proposed to inccrease loan amounts and terms but with no changes yet.
June 2, 20116 A Payday Loan Rule was proposed but still under consideration.
2019 No more current changes or proposals concerning Payday Loans.

Michigan Payday Loan alternatives

If you're looking for instant cash advance in Michigan but not a Payday Loan, consider other alternative ways to get the necessary funds:

  • Apply for Michigan Installment Loans - $1000 - $5000 cash advance repaid over several months or years in equal installments.
  • Take out a Car Title Loan if you own a vehicle to use as collateral.
  • Sell some of your valuable stuff online or at a pawn-shop.
  • Consider borrowing from a bank or credit union. In Michigan there're numerous Federal Credit Unions offering Payday Alternative Loans: Michigan First Credit Union, Community Promise Federal Credit Union, etc.
  • Qualify for one of Federal or Michigan government assistance programs: Food Assistance Program (FAP) Group, Debt, Foreclosure, and Credit Counseling Organizations, Cash Assistance and Social Services, Housing, Rent, and Security Deposits and many others depending on your needs.

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