Consumer protections, interest rate limits, and safer borrowing alternatives
This guide provides general information about payday loan regulations in North Dakota. Laws and regulations can change. For the most current information, contact the North Dakota Department of Financial Institutions, Attorney General's Office, or a qualified legal professional.
Payday loans are short-term, high-interest loans typically due on your next payday. In North Dakota, these loans are regulated by state law to protect consumers from predatory lending practices. Understanding your rights and the regulations governing payday loans can help you make informed borrowing decisions.
North Dakota has established specific rules regarding maximum loan amounts, interest rates, fees, repayment terms, and rollover restrictions. These regulations are designed to prevent borrowers from becoming trapped in cycles of debt.
$500 (with a $600 combined outstanding-balance limit per customer)
North Dakota sets specific limits on payday loan amounts to prevent excessive debt burdens on borrowers.
No APR cap stated in statute; fee is 20% of amount advanced
Finance charges: Fee up to 20% of the amount paid to the customer, plus the actual database transaction fee. Understanding these limits helps you identify predatory lenders.
Min: Renewal period not less than 15 days / Max: Total deferral (initial + one renewal) not to exceed 60 days
North Dakota specifies these loan term limits. Longer repayment periods can help reduce the financial burden.
Not specified in statute
Statute of limitations: 6 years on written contracts (N.D. Cent. Code 28-01-16). North Dakota has regulations to prevent borrowers from becoming trapped in cycles of debt.
As a payday loan borrower in North Dakota, you have important rights:
Before taking out a payday loan, consider these safer, more affordable alternatives available in North Dakota:
If you have questions about payday loan regulations or need to file a complaint, contact these North Dakota agencies:
Payday loans are regulated in North Dakota. The maximum loan amount is $500 (with a $600 combined outstanding-balance limit per customer) with interest rates of No APR cap stated in statute; fee is 20% of amount advanced. The North Dakota Department of Financial Institutions (DFI) oversees payday lending in the state. All payday lenders must be licensed and comply with state regulations.
In North Dakota, the maximum interest rate for payday loans is No APR cap stated in statute; fee is 20% of amount advanced. Finance charges are Fee up to 20% of the amount paid to the customer, plus the actual database transaction fee. Contact the North Dakota Department of Financial Institutions (DFI) for the most current rate information.
Many states, including North Dakota, have restrictions on the number of payday loans you can have simultaneously. Some states use database systems to track outstanding loans and prevent multiple concurrent loans. Check your state's specific regulations or consult with a financial advisor.
Safer alternatives include credit union Payday Alternative Loans (PALs) with APRs capped at 28%, personal installment loans with longer repayment terms, payment plans negotiated with creditors, emergency assistance programs from local nonprofits, employer cash advances, and side income from gig work.
You can file complaints with the North Dakota Department of Financial Institutions, the North Dakota Attorney General's Office, or the federal Consumer Financial Protection Bureau (CFPB). Document all interactions with the lender, keep copies of loan agreements, and gather evidence of any violations before filing your complaint.
This information is provided for educational purposes only and does not constitute legal advice. Payday loan laws and regulations in North Dakota are subject to change. For the most current information about North Dakota payday loan regulations, consult with a qualified attorney, contact your state's regulatory agencies, or visit official government websites. Fast Fair Loans is not a lender and does not provide legal advice.