Missouri Department of Finance
Sections 408.500, 408.505, and 408.506 make up the entire law concerning payday loans (a.k.a. "small, small loans"), which are loans of $500 or less. Such lenders must be licensed by the Division of Finance. Sections 408.500-408.505 subject this type of lender to a host of consumer safeguards, i.e., places a 75 percent cap on interest and fees on the initial loan and renewals, limits renewals to no more than six, limits the term of the loan to 14-31 days, applies daily interest calculations, etc. Additionally, the lender must conspicuously post rates and a borrower who repays a loan before the close of the lender's next full business day pays no interest or fees. Related regulations are found at 20 CSR 1140-11.030 through 20 CSR 1140-11.040.
Missouri law requires the consumer credit section to publish a report every two years on the payday lending industry. See our Publications and Reports page to view the report.
PLEASE NOTE: The licensing fee for applications and renewals has increased to $500.
" Licensing application packet
" Laws and regulations - quick reference guide
" APR calculation formula
" Renewal application
" Sample 500 note
Sample notice of maximum rates charged
8-17-2012: Missouri Secretary of State Robin Carnahan ruled Tuesday the minimum wage and payday loan initiative petitions did not meet the signature requirements and therefore will not appear on the November ballot.
The state Supreme Court ruled July 31 that both ballot measures passed the legal requirements, but Carnahan decided that each measure did not obtain the necessary amount of voter signatures.
Missouri has specific payday advance laws. Total fees, including rollovers, cannot exceed 75% of the initial loan amount. The permitted time period is a minimum of 14 days and a maximum of 31 days.The maximum amount of the payday loan allowable is $500.00. Rollovers are limited to 6, but the borrower must reduce the principal by at least 5% with each rollover.
For a thorough discussion of the payday loan industry and access to our payday loan training materials, we recommend you proceed to Payday Loan University.com
8-17-2012: Missouri Secretary of State Robin Carnahan ruled Tuesday the minimum wage and payday loan initiative petitions did not meet the signature requirements and therefore will not appear on the November ballot.
The state Supreme Court ruled July 31 that both ballot measures passed the legal requirements, but Carnahan decided that each measure did not obtain the necessary amount of voter signatures.
Mississippi Payday Loan Laws & Legislation State InformationLegal Status: Legal (Applies to check cashers only) Citation: Loan Terms: Debt Limits: Collection Limits: Where to Complain, Get Information: |