Payday Advance Montana
Payday advances are legal in the state of Montana, although there are tough guidelines in place meant to protect borrowers from unjust usury practices. If you live in Montana, you may find it difficult to locate lenders willing to provide short-term cash advances under the established state restrictions and you may have to resort to other alternatives.
Acquiring rapid funds is often a necessity, especially if you are living from paycheck to paycheck. Financial emergencies can occur between paydays when available cash is short of hand or non-existent. Having the ability to obtain cash needed to overcome such situations is critical. Payday loans are meant to meet such financial emergencies.
Payday Loans Explained
Payday cash advances are designed to provide a quick means of acquiring small amounts of cash that can be used to cover unexpected emergencies. Such advances are normally under $1,000 and are often acquired to pay bills, for car repairs, to meet medical emergency expenses, and other situations that require immediate payment.
Payday loans are short-term cash advances that are easily obtained and normally last between 14 and 31 days, usually being repaid upon the next payday. Payday advances require only a simple application process and very little information from the applicant. Credit checks are rarely conducted which make payday loans available to even those with bad credit histories.
Montana Payday Loan Laws and Guidelines
Under Montana law, payday loans are allowed, but they are regulated by harsh restrictions. Montana payday advances can be obtained from in-state licensed lenders or from online lenders. However, both in-state and online cash advance providers must follow the laws governing payday loans. Because the restrictions on Montana payday loans are so severe, many companies don't offer them.
The maximum payday loan amount in Montana is $300 and must be repaid within 31 days. The total amount of finance charges and fees cannot exceed 36 percent APR which equates to $1.39 on a $100 loan taken out for 14-days. Most payday loan companies argue that they cannot afford to do business with such low rates.
There are no rollovers, extensions, refinancing, or renewals allowed which means a payday advance Montana loan must be paid within the 31-day period. If a borrower cannot repay the loan on time, then they are advised to inform the lender ahead of time in writing and a payment plan should be worked out. The lender can charge one fee of up to $30 for non-sufficient funds (NSF) as well as attach reasonable attorney fees if applicable.
Alternatives to Montana Payday Loans
Payday short-term loan lenders may be hard to find in Montana due to the state's harsh restrictions. You can seek online payday loan companies willing to offer Montana payday advances. However, make sure that such lenders are abiding by Montana laws governing payday loans.
If you require fast cash but cannot find appropriate payday loan providers, then you can turn to other alternatives for the required funds. If your financial emergency is the inability to pay bills on time, you can contact your creditor(s) and request an extension of your due date. Most lenders will work with you on repayment if they are aware of your financial hardships.
You can also approach your employer and request working any available overtime, or for an advance on your pay. You can also adjust the withholding information on your W-2 form to include more dependents, which will lower the amount taken out of your paychecks. However, do not neglect changing the information back or you might end up owing money at tax time.
Other alternatives for receiving quick cash is to take on a side job, consolidate credit cards or bank loans, take out a title loan, sell or pawn valuables, research available local, state, or federal emergency hardship programs, or approach a family member or friend for a loan.
Where to Acquire Information on Montana Payday Advances
Further information on Montana payday loans and the laws surrounding them can be obtained by contacting:
Division of Banking & Financial Institutions (DOA)
301 South Park, Suite 316
P.O. Box 200546
Helena, MT 59620-0546