Payday Loans in Florida

Payday loans are governed by both federal and Florida state law. Under federal law, all Payday Lenders must comply with Regulation Z of the Truth-in-Lending Act. The amount of the loan, the amount of finance charge that will be assessed against you and the annual percentage rate (APR) of the loan must be conspicuously displayed on the contract/agreement you will sign.

While payday loans are legal in the state of Florida, the State has passed a number of laws regulating payday loans. Some important features of the Florida law are:

• Payday loans in Florida cannot exceed $500, exclusive of any fees charged for the loan.

• The lender cannot charge more than 10% of the amount of the loan, plus a “verification fee” (maximum $5), in total loan fees.

• The term of the payday loan cannot exceed 31 days, and must be a minimum of 7 days

• The payday loan agreement must specify the transaction date, the amount of the loan, the loan fees, the total fees paid expressed both as a dollar amount and an effective annual percentage rate, the due date of the loan.

• No customer can have more than one outstanding payday loan at any given time.

• The lender cannot rollover ("extend") the loan.

• Florida allows for a 24 hour cool-off period for a borrower to back out of the loan after signing the loan agreement.