Payday lending is licensed and operating in 37 states, banned in 13, and priced through three distinct regimes, so the same short-term advance can be a $75 fee in one state, a 36% APR installment in another, and unavailable over the counter in a third. This guide maps the regimes, the ban states, and the regulators as of 2026, and shows what residents of each kind of state actually borrow.
The Three Pricing Regimes
Per-$100 fee states. The dominant model prices credit like a service: a flat fee of roughly $10 to $30 per $100 borrowed per term, with 15% per $100 the most common number. On a $500 advance held 14 days, 15% is $75, an APR of about 391%. Alabama runs higher at 17.5%, which is $87.50 on $500 and about 456% APR. Terms run 14 to 31 days, and repayment is a single debit on your next payday.
36% APR cap states. A group of states caps rates near 36% and adds modest flat fees, pricing that storefront payday economics cannot survive. Classic two-week payday is effectively phased out, and what remains is small installment credit. Colorado licenses loans at 36% APR with monthly fees, and Ohio’s Short-Term Loan Act allows up to $500 at 28% APR with monthly maintenance fees that raise the effective cost.
The Texas broker model. Texas has no statutory amount cap. A licensed Credit Access Business brokers the loan and a third-party lender funds it, and the broker’s fees sit outside the interest rate framework. Costs are set by contract rather than by statute, and effective APRs commonly exceed 400%.
The 13 Ban States and What Residents Actually Use
Thirteen states do not license payday lending, including Arkansas, Connecticut, Georgia, Maryland, Massachusetts, New Jersey, New York, North Carolina, Pennsylvania, Vermont, and West Virginia. Banning the storefront does not ban the need, and residents of those states borrow through what remains:
- Credit union Payday Alternative Loans: $200 to $2,000 at a 28% APR cap over 1 to 12 months.
- App advances from EarnIn, Dave, Brigit, MoneyLion, Chime, and Varo: $20 to $700 against an incoming paycheck, usually for a tip or a subscription.
- State-capped installment lenders and small personal loans.
- Tribal installment loans: chartered by federally recognized tribes, so state bans do not reach them, though federal law does.
This site does not serve Arkansas, New Hampshire, Vermont, West Virginia, or New York at all, so applicants from those states are declined at the door regardless of product.
What the Rules Look Like in Practice
Representative state rules in 2026:
| State | Max advance | Fee regime | Notes |
|---|---|---|---|
| California | $300 check | 15% fee | You net $255 on a $300 check; the $45 fee is about 459% APR on the money received |
| Texas | No amount cap | CAB broker fees | A licensed credit access business brokers the loan; costs set by contract |
| Alabama | $500 | 17.5% fee | $87.50 on $500, about 456% APR on a 14-day term |
| Washington | $700 | 15% fee | Also capped at 30% of gross monthly income; extended plans available |
| Florida | $500 | 10% fee + $5 verification | One loan at a time; 60-day repayment plan if you cannot repay |
| Illinois | $1,000 | 15% per $100 | Also capped at 25% of gross monthly income |
| Ohio | $500 | 28% APR | Short-Term Loan Act; monthly maintenance fees raise the effective cost |
| Colorado | $500 | 36% APR + fees | Classic payday phased out; installment-style with monthly fees |
| Tennessee | $500 | 15% fee | 15% of the face check, with terms up to 31 days |
| Virginia | $500 | Fee table | The Virginia Payday Lending Act sets fees by term; one loan at a time |
Regulators, Licenses, and the Complaint Route
Every per-$100 state licenses payday lenders through a financial regulator: the California Department of Financial Protection and Innovation, the Florida Office of Financial Regulation, the Texas Office of Consumer Credit Commissioner, the Washington Department of Financial Institutions, and equivalents elsewhere. The license is the leverage. Regulators examine lenders, fine them, suspend or revoke licenses, and order restitution, and they publish enforcement actions you can search before you borrow.
The complaint route is straightforward. Find the lender’s license in the regulator’s lookup, file through the regulator’s complaint portal, and attach the contract, the payment schedule, and your bank records. If the lender is tribally chartered, the state regulator generally has no jurisdiction, so file with the CFPB instead; if the lender is a NAFSA member, its member code adds an internal grievance path on top.
Why This Map Matters
Price and availability move state by state, so the honest first step is knowing your own state’s line: the cap, the fee, the term, and the regulator to complain to. Our rates and fees page carries the full state-by-state fee table, and our guide to the real cost of a $300 payday loan shows what these regimes do to one loan size in dollars.