Texas Payday Loans Main Regulations

The maximum cash advances amount is not stated in Texas, as a rule. But lending services offer from $100 up to $1,000. Its term is from 14 days up to 6 months. The state code is TX.

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The maximum cash advances amount is not stated in Texas, as a rule. But lending services offer up to $1,000. Its term is up to 6 months. A small loan is legal, according to 5 Tex. Fin. Code §§ 393 et seq.1, 4 Tex. Fin. Code §§ 342.004.2. The maximum APR is 410%. There are no limitations on rates and fees in Texas. Lending companies usually take 10% of the loan. There is also a $30 NSF and a 5% collection fee.

Payday Loan Restrictions in TX

Terms Payday Loans Installment Loans Personal Loans
Law Status legal legal legal
Citation FINANCE CODE    
MIN amount $100 $1,000 $1,000
MAX amount $1,000 $5,000 $35,000
MIN term 14 days 90 days 90 days
MAX term 180 days 36 month 60 month
min APR Varies by lender 6.63% 4.99%
max APR 410%    
Extra fees 10% of the loan    
NSF fees $30    
Guarantor None, unsecured None, unsecured None, unsecured
cooling-off period None    
Penalties 5% collection fee    
Penalties A for Bad Credit A for Bad Credit A for Bad Credit

Texas Finance History

Texas has very relaxed payday loan legislation that allows the industry to flourish. This results in large numbers of payday loan storefronts in the state; In 2016 Texas held 23% (the first position) of the total American payday loan market. But the situation is changing due to the adoption of restrictions by cities despite the Texas lending law.

Alternatives for short-term payday loans in Texas

Before taking a payday loan, you should consider the following alternative solutions. There are:

  1. Installment Loans and Personal Loans online (from $1,000, $1,500, $2,000, $2,500, $3,000, $5,000 installment loans with a maximum 36-months term and up to $35,000 personal loans with a maximum 60-months term)
  2. Credit Cards, Debt Consolidation Loans, Credit Builder Loans
  3. Local assistance programs & Social Services
  4. Additional part-time jobs or some side gigs and freelance opportunities to earn extra cash
  5. Recycling for money
  6. Help from your family, friends, employer, or creditors
  7. Credit unions or traditional banks.

You have to be very careful and responsible when applying for payday cash advances. We recommend you avoid rollovers, renewals, or extensions as much as possible. So, you’ll be able to repay your loan fast and easily.

Texas Payday loans History

The 1990s – Early in the 90s payday loan practices were illegal in Texas.

2001 – The Texas Legislature adopted payday lending standards under the authority of the Texas Office of Consumer Credit Commissioner (OCCC). However, lenders in Texas found ways to circumvent state limits: a usury cap of 10% interest and a maximum 136% APR rate for a 2-week, $300 loan. Payday lenders managed to find a loophole where they became “Credit Services Organizations” (CSOs). They did so by claiming regulation under the Texas Credit Services Organizations (CSO) Act (passed in 1987). Thus, they went on charging excessive fees to loans.

2001 – 2004 – The growth and flourishing of the industry.

2004 – 1,300 storefront payday lenders in Texas.

2011 – Over 3,400 CSO locations were registered.

2011 – The loan reform was started. As the first step: Credit Services Organizations (CSOs) were now called Credit Access Businesses (CABs).

2012 – As a result of reform, municipalities in Texas started to pass zoning ordinances to restrict payday lending operations, among them were Dallas, Austin, and San Antonio.

2013 – The Legislation failed to pass a very important bill thanks to the lawmakers’ disagreement on law details. However, 2011 measures passed and payday lenders were now required to be state-licensed and to “post a schedule of fees in a visible place”.

Houston passed the payday lending local ordinance. This reduced the number of lending stores by 4 times after 3 years.

2015 – Arlington passed the Texas Municipal League’s model ordinance that had already been adopted by 27 other cities. (The main restriction was an interest rate cap of 20% of a borrower’s gross monthly income.) None of more than 40 bills addressed to payday loan problems made it out of committee (and only H.B. 411 about Telemarketing tactics passed House 5/6/15. It“prohibits a credit access business or its representatives from making a telemarketing call.”)

2016 – Hurst, Euless, and Bedford followed suit. Fort Worth remains the largest Texas city not to have one. The Consumer Financial Protection Bureau (CFPB) proposed a Payday Loan Rule that hadn’t yet fully come into effect.

2018 – Community Financial Services of America and Consumer Service Alliance of Texas jointly filed a lawsuit against the federal Consumer Financial Protection Bureau intending to invalidate the Payday Loan Rule; no changes so far.

2020 – For the past 10 years, Local City Ordinances have been adopted by 45 cities in Texas.

How do online Payday Loans work in Texas?

Payday Loans both online and in-store, are available for Texas residents. But, nowadays, online payday lending is becoming more and more popular among borrowers as it has a lot of benefits:

  1. An opportunity to compare a lot of different offers at once;
  2. Avoid driving, doing paperwork, and waiting in infinite lines;
  3. Free and simple application process;
  4. High rates of approval even with a bad credit history;
  5. A trusted network of lenders that perform no hard credit check;
  6. 24/7 availability.

The online application process is fast and simple:

  • First step: compare the lenders and choose the one with the suitable rates and fees;
  • Second step:fill in the application form with the necessary information;
  • Third step:get the money into your account on the next business day;
  • Fourth step:repay the loan with your next paycheck.

Payday Loan Requirements in Texas

Alternative lending services, like direct lenders, may have special requirements that a borrower should meet, but typical minimum requirements include:

  1. Texas (US) residence;
  2. Regular income (minimum $1,000 per month);
  3. Valid checking or savings bank account with direct deposit;
  4. Active phone number and email address;
  5. If you’re a veteran or military, you should have served 90 consecutive days of active service during wartime, OR you have served 181 days of active service during peacetime, OR you have six years of service in the National Guard or Reserves;
  6. If applying Online, you must provide a valid Social Security Number;
  7. If applying at Lending Store, you must bring a valid government-issued photo ID. A Social Security Number might not be required;
  8. If applying in-store, you must bring proof of income and evidence of a bank checking account.

Texas Rates and Terms for Payday Loans

The maximum cash advances amount is not stated in Texas, as a rule. But lending services offer up to $1,000. Its term is up to 6 months. A small loan is legal, according to 5 Tex. Fin. Code §§ 393 et seq.1, 4 Tex. Fin. Code §§ 342.004.2 The maximum APR is 410%. There are no limitations on rates and fees in Texas. Lending companies usually take 10% of the loan. There is, also a $30 NSF and a 5% collection fee.

APR Example and Fee Schedule for Payday Loans in Texas

A 17-day payday loan of $500.00 has an APR of 611.14% and a Finance Charge of $142.32. There is a Credit Access Business (CAB) fee of $28 per $100 borrowed. This fee compensates us for our assistance in arranging a payday loan for you.

Regulator: Complaints & Information

Texas Office of Consumer Credit Commissioner

Address: Finance Commission Building, 2601 N Lamar Blvd, Austin, TX 78705

Phone: 512-936-7600 or 800-538-1579 (helpline)

URL: https://occc.texas.gov/

File a Complaint: https://occc.texas.gov/consumers/file-a-complaint

OCCC regulates payday loans (< $1,340) under Chapter 342 Subchapter F (Texas Finance Code Chapter).

Payday loans in Texas for Unemployed People

In Texas, payday loans are available for people on SSI (Supplemental Security Income), unemployed residents, those who have child alimony, single mothers, disabled borrowers, and other job-related minorities. But the main rule is that they must have a minimum (unofficial) income of $1,000. If you’re one of them, find out that you have the chance to get approval, too.

Be sure that anti-discrimination rules are applied for these types of borrowers. If you’re unemployed but have unofficial incomes, direct lenders may offer payday cash advances to cover your unexpected expenses.

There are some common requirements for people with disabilities or those who live from benefit payments. They should show the disability policy or benefits statement from the benefits payer (typically, it is an insurance company or former employer).

Some lenders may require an Award Letter from Social Security Administrators or proof of current receipt concerning people on SSI. It is a frequent requirement from lending companies that should meet borrowers with disabilities.

It is important to know that direct lenders make maximum efforts to provide payday loans for unemployed and/or disabled people.

Reasons to Choose Us

Among many online cash advance lenders and platforms, our vision of lending is different. We work with a trusted network of direct payday lenders.

Find out other benefits when choosing us:

  1. You get immediate access to competitive loan offers with no third party, with no hidden fees.
  2. You can use payday loans in Texas as you wish. Lenders don’t set restrictions for spending your money.
  3. Our lenders don’t perform hard credit checks for payday cash advances in WI. They just run a general review of your financial situation.
  4. The online application process is quick and easy, especially for short-term loans in Texas.
  5. No paperwork and faxing! Just an online application form is available 24/7.


Yes, consumers with all types of credit rates are welcome to apply for payday loans in Texas. There is a high rate of approval for people with poor credit history.

There are only soft credit checks. These kinds of assessments aren’t provided through those three traditional credit bureaus but only by alternative companies. Also, this check won’t affect your actual credit score.

No, you can get only an instant approval decision. You’ll receive it as a notification at your email address. Commonly, it takes 5 – 10 minutes to get a decision from your lender.

No, you can get a guaranteed approval decision from the direct lender for your payday loan in Texas. But there is a high rate of approvals, so don’t worry about getting the money you need.

Yes, you may get 1-hour payday cash advances in Texas. If qualified, 1-hour payday loan may be approved in less than 60 minutes. But you should know that by providing 1-hour payday loans, lenders give you access to funds on the next business day or even sooner. Pay attention to the cut-off times of lenders.

It depends on the cut-off times. If you apply for payday loans in TX before noon, your cash advances may be approved faster, and you’ll receive the money in your bank account the same day. But if applied in the afternoon, you’ll get them on the next business day.

The easiest way to get payday loans in Texas is to apply on online platforms that help you to connect with direct lenders. You have to fill in the single application form, and the partners will send it to dozens of direct lenders who will decide to get you a loan.

If you need more money for your emergencies, direct lenders also provide installment loans ($1,000 – $5,000) and personal loans ($5,000 – $35,000). The minimum term for these loans is 90 days, and the maximum is 36 months and 60 months.

To apply for payday cash advances in Texas, you need to access the Internet from a PC, Laptop, or even smartphone. Also, you need to provide valid information about yourself while filling in the application form.

The minimum term for payday loans in Texas is 14 days, but the maximum term is 90 days.

If you cannot pay your payday cash advances in TX when it is due, lenders will apply legal penalties. The amount of penalty percentage depends on the lender and on the amount you borrowed.

You’ll receive a notification about the application result at your email address. Make sure it is active and not full.

It depends on the cut-off times. If you apply before noon, you may get your payday loan in TX on the same day. But if used in the afternoon, you’ll get your money on the next business day in your bank account.

ASCIN Payday Loans, LLC is a licensed connecting company that works under federal laws set by the US government. We are licensed by the Department of Financial Protection and Innovation. Borrowers can request licensing information anytime.

We work only with a network of trustful and licensed direct lenders that operate according to lending laws of Texas. Feel free to ask for all the needed information about our lending partners.

All States

You can get suitable payday loans in the US online with a quick and easy application form. Just fill it in and wait 5 – 10 minutes for a loan decision.

US residents can apply for online payday loans even with poor credit. Most direct lenders guarantee instant decision and Payday Loans with soft or no credit checks. Get the necessary emergencies as soon as the next business day if you borrow online or even the same day if you apply in-store.

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