Common Capital is a Help Organization dedicated to providing the public with comprehensive, accurate, and accessible online information about payday loans in Alabama
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This loan calculator is provided as an estimator only. The details of your loan will depend on several factors including, but not limited to: loan amount, term, annual percentage rate (APR), fees, the state you live in, and the lender’s conditions. These details vary lender to lender and are subject to change at any time. The details of your loan will be provided to you by your lender.
| Year | No. of Stores | No. of Clients | No. of Loans | Value of Fees | Value of Loans |
|---|---|---|---|---|---|
| 2021 | 464 | 112K | 850K | $55.3M | $317.1M |
| 2020 | 547 | 139K | 1,090K | $67.8M | $392.1M |
| 2019 | 572 | 192K | 1,650K | $99.7M | $570.9M |
| 2018 | 596 | 208K | 1,750K | $102.9M | $589.9M |
| 2017 | 631 | 214K | 1,800K | $107.2M | $651.5M |
| 2016 | 711 | 239K | 2,000K | $116.4M | $668.1M |
| 2015 | 836 | 144K | 300K | $183.2M | $105.9M |
| 2014 | 999 | - | - | - | - |
| 2013 | 1,043 | - | - | - | - |
Explore our curated list of the Top Licensed Alabama Payday Loan
Payday loans in Alabama are regulated under specific legislation to ensure consumer protection and fair lending practices. The Alabama Deferred Presentment Services Act, which governs the operation of payday loans in the state, sets clear guidelines for lenders. Under this act, the maximum loan amount is capped at $500, and the loan term must be between 10 to 31 days. The finance charges on these loans should not exceed 17.5% of the amount advanced. Additionally, borrowers are limited to one payday loan at a time from any given lender, and a cooling-off period is required after two continuous loans.
Federal laws, including the Truth in Lending Act (TILA) and the Fair Debt Collection Practices Act (FDCPA), also apply to payday loans in Alabama. TILA ensures that borrowers are fully informed about the terms and costs of their loans, while the FDCPA protects borrowers from abusive collection practices. These laws, in conjunction with state regulations, provide a comprehensive legal framework for payday lending in Alabama.
Consider alternatives to payday loans in Alabama, including personal bank loans, credit union advances, local assistance programs, and structured payment plans for more secure financial management
Guaranteed installment loans in Alabama offer a fixed repayment schedule, ideal for those seeking stability in their financial planning. Applicants typically need to provide proof of income and a bank account. These loans differ from payday loans with their longer repayment periods and fixed monthly payments.
Fast title loans are secured by using your vehicle as collateral. To qualify, you need a clear vehicle title and proof of income. Unlike payday loans, title loans may have longer repayment terms but come with the risk of losing your vehicle if you default.
Emergency loans are designed for sudden financial crises. Requirements usually include proof of income and residency of Alabama. These loans stand out for their rapid processing times, offering quick financial relief for emergencies, in contrast to traditional, longer-term loans.
Debt consolidation loans in Alabama allow borrowers to merge multiple debts into a single loan, often with a lower interest rate. These require a good credit score and stable income. They differ from payday loans by focusing on managing and paying off existing debts rather than offering short-term financial relief.
Instant Personal Loans offer a timely solution for Alabama residents dealing with unforeseen financial burdens. Processed swiftly, often within a single day, they provide prompt aid in financial emergencies. Applicants are typically required to demonstrate income stability, hold a valid state ID, and maintain an active bank account, with their credit history potentially influencing approval. These loans differ from payday loans by offering more advantageous terms, such as lower interest rates and longer repayment periods, making them a more sustainable and cost-effective option.
Cash loans offer a quick financial solution for short-term needs. Minimal documentation, typically proof of income and a bank account, is required for Alabama residents. These differ from installment loans in their shorter repayment duration and are often used for urgent cash requirements.
Bad credit loans cater to individuals with less-than-perfect credit histories. Lenders may ask for proof of income and employment. These loans are different from standard personal loans as they usually come with higher interest rates and fees, reflecting the increased risk.
Quick P2P (peer-to-peer) loans in Alabama are facilitated via online platforms that connect borrowers with individual lenders. While requirements vary, they often include a credit check and income verification. Offering an alternative to traditional banking, these loans can provide competitive rates and flexible repayment terms.
Navigating the process of obtaining a payday loan in Alabama, especially with bad credit, can be daunting, but it's simpler than you might think. The first step is to find a reputable lender who offers payday loans to individuals with low credit scores. Once you've identified a lender, the next step involves completing an application, which typically requires basic personal and financial information. It's important to provide accurate details to increase your chances of approval. After submitting your application, lenders usually give a quick response. If approved, the loan amount is often disbursed swiftly, sometimes even on the same day, directly into your bank account.
To qualify for a payday loan with a low credit score, you must meet certain criteria. Firstly, you must be at least 18 years old and a legal resident of Alabama. A steady source of income is crucial, as it assures lenders of your ability to repay the loan. This can be from employment, self-employment, or regular benefits. Additionally, you'll need a valid bank account, as this is where the loan will be deposited and repayments are taken. While credit checks are performed, the emphasis is more on your current financial situation rather than your credit history, making these loans more accessible to those with less-than-perfect credit.
If you need to submit a complaint against a payday lender, the State Banking Department is the primary regulatory body. They ensure compliance with state laws governing payday loans. You can reach them at:
Yes, payday loans are legal in Alabama. The state has established laws and regulations that govern the functioning of payday lenders, ensuring legal protection for both lenders and borrowers.
Payday loan debt forgiveness is not a common practice. Borrowers typically must repay the loan as agreed, although they can seek financial counseling or negotiate with lenders in case of hardship.
Obtaining a payday loan without a bank account in Alabama is quite difficult. Most payday lenders require a bank account for loan disbursement and the automatic withdrawal of payments.
In Alabama, payday loans usually come with fixed terms. This includes a set fee and a specific repayment date as per state regulations.
Payday loans are unsecured loans. This means they do not require any form of collateral, such as property or a vehicle, to secure the loan.
In Alabama, the duration payday loans stay in the system varies. Typically, loan details can remain on credit reports for several years, depending on the lender's policies and the borrower's credit activities.