Rhode Island Payday Loan Laws and Regulations

Rhode Island Payday Loan Laws and Regulations

Are Payday Loans Legal in Rhode Island?

Short-term Payday Loans are Legal in the state of Legal and are mostly regulated through  R.I. Stat. Ann. 19-14.4-1 et seq..

An Act Relating to Small Financial Institutions – Small Loan Lenders.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.


The main Payday Loan requirements in Legal are:

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

For other details read further to find out how many Payday Loans you can borrow, whether rollovers or extensions are allowed, etc.

Rhode Island Payday Loan Terms and Amounts 

Rhode Island residents who are eligible for a Payday Loan can get maximum $500 per contract. The repayment term is minimum 13 day(s).

However, there are no specifications 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 Rhode Island.

If a Payday cash advance is not enough, there are always other options to receive the necessary funds in Rhode Island:

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

Rhode Island Payday Loans online laws 

Payday loans from both storefront and online lenders are legal in the state of Rhode Island. But the companies should operate according to the Rhode Island Department of Business Regulation, 1511 Pontiac Ave, Cranston, RI 02920, (401) 462-9500 regulations.

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. 

Rhode Island Payday Loans interest rates, fees, and other finance charges 

The main part of 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 Rhode Island is 260.00%. 

Besides, the total cost of a Payday Loan includes some additional fees. 

The law obligates Idaho 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.

Rhode Island Payday Loans direct lenders regulations 

According to Rhode Island payday loan laws all direct lenders are obliged to register their companies which will allow issuing payday loans contract. It concerns both Online Payday Loans and Payday Loans Near Me.

There’re 28 Payday Loan stores in Rhode Island. The state’s law controls Payday Loans direct lenders operating both online and in-store.

Payday Lending in Rhode Island.pdf

Rhode Island Payday Loan lenders are prohibited to threaten you for late payments or loan default and conduct any criminal actions against you.

Nevertheless, 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 Rhode Island state law.

Rhode Island Payday Loans consumer information 

Besides amounts, rates, and fees, consumers must be also well aware of other details of Payday Loans in Rhode Island. They include the availability and number of rollovers, extensions and repayment plans, 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 1 rollover
Cooling-off period None
NSF fee None
Criminal actions Prohibited

Look for more detailed information on the official Rhode Island state regulator website – Rhode Island Department of Business Regulation, 1511 Pontiac Ave, Cranston, RI 02920, (401) 462-9500.

Legitimate Payday Loans Online with NO credit check in Rhode Island 

Looking for a legal Payday Loan with No credit check in Rhode Island? 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, Rhode Island 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.

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

Does Rhode Island law allow Payday Loans for bad credit borrowers?

The average credit score in Rhode Island is 704, 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 Rhode Island. 

  • First of all, there’re a lot of legit direct lenders in Rhode Island 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 Rhode Island collection practices 

If you can’t repay the loan amount plus interest on a due date it means you default the loan. When Rhode Island 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. Non-sufficient funds fee in Rhode Island is None.

What concerns collection practices, first of all, you may stay assured that any criminal actions are forbidden in Rhode Island. The laws limit the collection actions lenders can take – When a borrower has failed to repay a Rhode Island payday loan, the laws dictate that lenders are not allowed to take any legal action against that borrower unless the individual has closed his or her checking account prior to repaying the debt in full. This essentially means that borrowers who maintain their checking accounts and who are unable to repay payday loans will be protected from payday loan lenders’ attempts to sue them or garnish their wages.

If you think that your payday lender violates the Rhode Island Payday Loans law, you may file a written complaint with Rhode Island Department of Business Regulation, 1511 Pontiac Ave, Cranston, RI 02920, (401) 462-9500. 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.

Rhode Island Payday Loans news  – latest changes 

PROVIDENCE — The coalition promoting “payday lending reform” has dropped its $4,000-a-month lobbyist.“Last week, I was informed by the executive committee of the coalition that they were pulling back on…

The Rhode Island Payday Lending Reform Coalition, which includes labor, social welfare organizations, municipalities, church and minority groups, argues the real value is draining away from the state. Coalition co-chair Margaux Morisseau cites an Insight Center for Community Economic Development study showing that the net economic effect for Rhode Island in 2011 was a $1.6 million loss.

“This is absolutely an economic issue,” she says. “This bill has a record number of cosigners. Everyone is at the table. But until the leadership decides this is important, they will do nothing.”

Rhode Island Payday Loans historical background 

2001 First Payday loan stores were opened and operated under the check cashing act.
2006 Payday Loans to the military were capped at 36% APR.
June 2, 2016 A Payday Loan Rule was proposed.
2018 It was proposed to introduce a 36% cap small loan cap but with no results.

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