Fueling the ongoing affordability crisis, new types of payday loans offered through cash advance apps – so-called “earned wage access products”– drain hundreds of dollars a year from thin wages.
© Copyright 2025, National Consumer Law Center, Inc. All rights reserved. Caps on interest rates and junk fees are the primary vehicle by which states protect consumers from predatory lending. Forty-five states and the District of Columbia currently cap interest rates and loan fees for at least some consumer installment loans, depending on the size…
Forty-five states and the District of Columbia (DC) currently cap interest rates and loan fees for at least some consumer installment loans, depending on the size of the loan. However, the caps vary greatly from state to state, and a few states do not cap interest rates at all.
This report surveys the interest rates and loan fees allowed by all 50 states and the District of Columbia for an unsecured 5-year installment loan of $10,000.
Forty-five states and the District of Columbia (DC) currently cap interest rates and loan fees for at least some consumer installment loans, depending on the size of the loan. However, the caps vary greatly from state to state, and a few states do not cap interest rates at all.
This National Consumer Law Center survey analyzes the strengths and gaps of the statutes in 50 states and Washington, D.C. that regulate installment loans, a market that is expected to grow as restrictions on payday loans increase.
This is an outdated report. For the most current version click here. Caps on interest rates and loan fees are the primary vehicle by which states protect consumers from predatory lending. Forty-five states and the District of Columbia (DC) currently cap interest rates and loan fees for at least some consumer installment loans, depending on the size…
Payday loans are very high-cost, short-term loans that ensnare borrowers in a debt trap. As public awareness of the dangers of payday loans has grown, a number of institutions have begun offering alternative products that promise to be more beneficial to the borrower. But payday loan alternatives are not all created equal. Some are considerably…
Millions of consumers are being victimized by “credit” card offers that charge hundreds of dollars in fees and extend minimal available credit – sometimes as little as $50. These cards, which we call “feeharvester” cards, share a common thread: high fees that eat up most of an already low credit limit, leaving the consumer with…
Read More about Fee-Harvesters: Low-Credit, High-Cost Cards Bleed Consumers
Credit cards have long been a source of confusion for consumers and a tool of manipulation for many card issuers. The Credit Card Accountability, Responsibility and Disclosure Act of 2009 (Credit CARD Act) created long needed protections for cardholders. But the Act did not eliminate all dangerous aspects of credit cards or every unfair or…
Read More about Beyond the Credit CARD Act: Features of a Safer Credit Card
