Louisiana

State Payday Loan Law Information

Payday loans in Louisiana are restricted to amounts equal to or less than $350.  The maximum term of any loan is 60 days.  The maximum finance rate and fees may not exceed $5 per documentation fee plus 16.75% of the check or $45. If the customer defaults the rate changes to 1-12 months there is a 36% finance charge per year and after 13 months and beyond the interest rate is 18% per year.

There is no specified number of outstanding loans permitted at one time.  Rollovers and renewals are not permitted; however, the licensee may accept partials payment of 25% of the amount of the loan amount plus fees and then the licensee may issue a new loan.

No provisions are made for a cooling off period or repayment plan.

Collection fees are limited to one NSF fee of the actual bank charge if the provisions have been disclosed plus the greater of $25 or 5% of the check, court costs, and reasonable attorney’s fees.  Criminal action is prohibited.

 

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