Payday loans are allowed in the state of Indiana. In Indiana, the minimum amount of time a cash advance may be for is 14 days. Borrowers are not allowed to rollover or extend their loan period - renewals are not allowed. The maximum loan amount that a borrower can request is $550, as long as it does not exceed 20% of the borrower's gross income. Borrowers may only have one outstanding loan per lender at a time, with a maximum of two loans, like a Fort Wayne lender and an Indianapolis lender. at any given time. Indiana payday loans are regulated by the Indiana Department of Financial Institutions, located in Indianapolis.
Cooling Off Period
Borrowers are required to wait 7 days
before borrowing any more funds after they have taken out 6 loans in a row. This is referred to as a cooling off period for payday loans.
Fees and Criminal Action
Lenders are allowed to charge a one-time fee of $20 for checks that are returned citing insufficient funds. If a borrower intentionally defrauds the lender, the lender is then authorized to charge additional fees. Criminal action is prohibited in the case of payday loans.
Interest rates for loans in the state of Indiana are laid out a bit differently. Lenders can charge 15% interest on the first $250 borrowed, then 13% for amounts $251-$400 and 10% for amounts $401-$500.
Advance America Cash Advance Centers
Category: Payday loans