Rollover

Payday lending legality and number of rollovers allowed

This informations argues that payday loan rollovers lead low income individuals into a debt-cycle where they will need to borrow additional funds to pay the fees associated with the debt rollover. Of the states that allow payday lending, 22 states do not allow borrowers to rollover their debt and only three states allow unlimited rollovers. States that allow unlimited rollovers leave the number of rollovers allowed up to the individual businesses.

StatePayday Lending Legality Number of Rollovers Allowed
AlabamaLegal1
AlaskaLegal2
ArizonaProhibitedProhibited
ArkansasProhibitedProhibited
CaliforniaLegal0
ColoradoLegal1
ConnecticutProhibitedProhibited
DelawareLegal4
FloridaLegal0
GeorgiaProhibitedProhibited
HawaiiLegal (Applies to check cashers only)0
IdahoLegal3
IllinoisLegal0
IndianaLegal0
IowaLegal0
KansasLegalNot specified
KentuckyLegal (Applies to check cashers only)0
LouisianaLegal0
MainePermitted for supervised lenders onlyProhibited
MarylandProhibitedProhibited
MassachusettsProhibitedProhibited
MichiganLegal0
MinnesotaLegal0
MississippiLegal0
MissouriLegal6 (borrower must reduce principal amount of loan by 5% or more upon each renewal)
MontanaLegal (at a low cost)0
NebraskaLegal0
NevadaLegalNot Specified (Lenders cannot extend payment period beyond 60 days after expiration of initial loan period)
New HampshireLegal (at a low cost)0
New JerseyProhibitedProhibited
New MexicoLegal0
New YorkProhibitedProhibited
North CarolinaProhibitedProhibited
North DakotaLegal1
OhioLegal (at a low cost)0
OklahomaLegal0
OregonLegal2
PennsylvaniaProhibitedProhibited
Rhode IslandLegal1
South CarolinaLegal0
South DakotaLegal4
TennesseeLegal0
TexasLegal0
UtahLegal (Applies to check cashers only)Not Specified (cannot extend or renew loan more than 10 weeks from original loan date)
VermontProhibitedProhibited
VirginiaLegal0
WashingtonLegal (Lender must have a small loan endorsement to their check casher license in order to make payday loans)0
Washington, DCLegal0
West VirginiaProhibitedProhibited
WisconsinLegal1
WyomingLegal0