Payday Loan Laws

Rhode Island Payday Loans and Small Dollar Lending

Rhode Island opened the door to payday lending in 2001 and is one of about 35 states that allow the industry in some form. The loans are limited to $500 and the money is supposed to be paid back within 13 days. But under state law, lenders can charge up to $10 in fees for every $100 borrowed, which translates to roughly 260-percent interest on a two-week loan, the standard in most states, or about 280 percent on the 13-day term that is standard in Rhode Island.

For a thorough discussion of the payday loan industry and access to our payday loan training materials, we recommend you proceed to Payday Loan Industry