In most cases, you can only obtain one payday loan at a time. However, in some states, you can apply for short-term loans from different payday lenders and get approved simultaneously without a credit check. This means that you may end up with more than one payday loan. In short, the answer is yes, you can get another payday loan if you already have one.
But the truth is that it's more complicated than that. You should not try to get more than one payday loan as it could lead to a debt cycle that could take months or even years to recover from. Instead, explore some of the other options available to you. The best way to find out how many payday loans you can have is to ask your lender.
Check their rates and terms page on their website, call their customer service department or visit one of their payday loan stores. Any knowledgeable lender will be aware of restrictions in your state and can help provide you with the information you need. If you used a credit card instead, even with the highest credit card rate available, you would be paying less than a tenth of the amount of interest you would pay on a payday loan. With the exception of an installment payday loan, no payday loan may be granted to a consumer if the loan would result in the consumer becoming indebted to one or more payday lenders for a period exceeding 45 consecutive days.
In California, loans other than deferred deposit loans are issued pursuant to the California Funding Act. The provisions of this Chapter applicable to a loan subject to §342.252 also apply to a loan subject to this section, with the exception of division (B). If you need to borrow more money, you might even consider closing your existing payday loan and repaying it early before looking for a larger loan amount, either through a credit union that offers much lower rates, using a secured loan or selling all the items in your house that you do not use. Cash advance apps, sometimes also called paycheck advance apps, are similar to payday loans but they don't charge interest.
You should usually only have one or two payday loans open at any given time as this will help avoid relying too heavily on high-cost financial products and potentially falling into a debt spiral. NCSL cannot provide guidance to citizens or businesses regarding payday lending laws and practices. Subject to division (B) (of this section), the minimum loan duration is 91 days and the maximum loan duration is one year. A loan agreement under this subchapter may provide for an interest charge calculated using the actual daily earnings method or the scheduled installment earnings method that does not exceed the equivalent rate or actual repayment of the installment account handling fee during the original scheduled term of the loan. While a payday loan may be a convenient short-term solution, it is not appropriate for long-term cash needs. In the long term, you can also work to fix the underlying financial issues that led you to a payday loan counter. There is nothing in law that prevents lenders from giving you a second payday loan even if you already have one.
The Deferred Filing Services Transaction Act governs Michigan payday loans and limits the number of payday loans a customer can have at one time; the amount of service charges a payday lender can collect; and a payment date no greater than 31 days after the date of the transaction. Online payday lenders doing business with Washington residents must be licensed by the DFI and comply with Washington loan limits and terms. You should assume that every additional payday loan you get will have worse terms than the previous loan.