Payday Loans are Legal in Oklahoma

Beware of predatory lending

Payday Lenders in Oklahoma

Payday loans are a type of short-term loan that is meant to help those in need of temporary funds because of unexpected circumstances. They have a quick repayment schedule that normally requires the money to be paid back by the next payday.

Payday loans are a popular option in Oklahoma, despite the high interest rates and fees and there are over 426,000 payday loans taken out in the state each year, with an average APR of 391%. Additionally, some lenders offer loan rollovers, which can lead to borrowers becoming trapped in a cycle of debt. To avoid the risks of payday loans, it is important to understand the terms and conditions of the loan before accepting it.

It can be difficult to find the right lender if you are looking for legitimate Oklahoma payday loans. By comparing different offers and researching the reputation of lenders, you can find a reliable and safe option. Start by reading online reviews and asking for recommendations from friends, then always verify the credentials of the lender. Be cautious of lenders who have overwhelmingly negative reviews, as this could indicate that they are untrustworthy. Comparing and researching lenders will help you to have a positive experience.

Payday Loan Laws

The Oklahoma Small Lenders Act was signed in 2019 and became the primary legislation governing all payday loans in the state effective 2020. This law increased the allowable amount from $500 to $1500 but put more restrictions on the minimum allowable term and allowable finance charges. This act increased the overall legal oversight on payday loans in the state and requires that lenders check a borrower’s eligibility before granting a loan.

Loan Terms and Conditions

Maximum loan amount: $1500

Maximum Interest Rate: 207%

Minimum loan term: 60 days

Maximum loan term: 1 year

Number of rollovers allowed: none

Finance Charge: 17%

Legal action: 5 Years

Certified Payday Lenders in Oklahoma

Company Name	Company score	License Status
ENOVO International Inc	7.6	Valid
CURO Intermediate Holdings	7.1	Valid
CNG Financial Corporation	6.8	Valid
Security Finance Corp	6.1	Valid
Advance America, Cash Advance Centers, Inc	5.9	Valid
Big Picture Loans, LLC	5.3	Valid

History of Oklahoma Payday Loans

The Oklahoma payday lending industry has undergone significant changes over the years, from the authorization of payday lending in 2003 to the creation of the Small Lenders Act in 2019. The Deferred Deposit Lending Act authorized traditional payday loans in 2003, and the Oklahoma Department of Consumer Credit began requiring payday lenders to record transactions in a central database in 2004. The law has changed since then to help protect consumers. In 2017, Governor Mary Fallin vetoed a bill that would have permitted small lenders to offer installment loans, and in 2019, the Small Lenders Act passed, which imposed a $1,500 limit on small loans and a 17% interest rate cap. However, borrowers must remain vigilant about installment loans, which can still put them at risk.

State Resources

How to file a complaint

The Oklahoma Department of Consumer Credit is the governmental agency that regulates non-depository institutions, including payday lenders, and handles complaints against them. Consumers can submit a complaint on their website or by emailing or mailing the complaint form. The Oklahoma Department of Consumer Credit only handles complaints for non-depository institutions, which is different than most states.

Oklahoma Payday Loans Debt Relief

How to Get out of Payday Loan Debt?

It can be difficult to get out of payday loans in Oklahoma, but with some planning and determination it is possible. Negotiating with the lender can help you come up with a repayment schedule that is fair to both parties. It may be possible to reduce the interest rate or extend the repayment period. Or, you can agree on a schedule of payments that works with your financial situation. You can also seek financial coaching or credit counseling from a reputable organization, such as the National Foundation for Credit Counseling, these organizations offer guidance on budgeting and debt management. Avoid taking out more payday loans or other high-interest products as they can worsen the debt situation. Borrowers in Oklahoma who are proactive and seek professional help can navigate their way out of payday loan debt.

Support Resources

Types of Quick Loans in Oklahoma

Cash Advance Apps Cash advance apps have become increasingly popular in Oklahoma in recent years. These apps offer users quick and easy access to small amounts of cash, typically with high-interest rates and fees. Users can easily apply for a cash advance through the app and receive the funds within hours or even minutes. While cash advance apps can be convenient in emergencies, they can also be risky due to the high interest rates and potential for debt. It’s important for users to carefully read and understand the terms and conditions of the cash advance app they are using and to only borrow what they can afford to repay.

Installment Loans Installment loans are a popular option for borrowers in Oklahoma who need to borrow a larger amount of money and repay it over time. These loans typically come with fixed interest rates and regular payments due over a set period of time. Installment loans can be used for a variety of purposes, from debt consolidation to home repairs. While they can be helpful for borrowers who need a lump sum of cash, it’s important to carefully read and understand the terms and conditions of the loan before agreeing to it. Borrowers should also make sure they can afford the monthly payments and the total cost of the loan, including interest and fees.

Lines of Credit Lines of credit are another option for residents of Oklahoma. Unlike traditional loans, lines of credit provide borrowers with access to funds on an as-needed basis. Once approved, they can draw from the line of credit up to the approved limit and only pay interest on the amount borrowed. This flexibility can be especially helpful with fluctuating cash flow or unexpected expenses. However, it’s important for borrowers to carefully manage their lines of credit and avoid borrowing more than they can afford to repay.

Alternatives to Payday Loans in Oklahoma

Personal Loans

Personal loans in Oklahoma are an option for those in need of quick cash for a variety of reasons, including unexpected expenses or debt consolidation. Interest rates and terms may vary depending on creditworthiness, but some lenders offer fixed rates and flexible repayment options. It's important to shop around and compare rates and terms from multiple lenders to find the best option. Some lenders also offer online applications and quick approval processes.

Bridge Loans

Bridge loans are short-term loans available in Oklahoma and are used to bridge the gap between the purchase of a new property and the sale of an existing property. These loans typically have higher interest rates and fees but offer quick access to funds. Bridge loans are ideal for those who need to act quickly on a real estate purchase and may not have immediate access to the necessary funds. It's important to carefully consider the terms and repayment schedule of a bridge loan before applying.

Home Equity Loans

In Oklahoma, home equity loans allow homeowners to borrow against the equity in their homes for large expenses, such as home improvements or debt consolidation. Interest rates may be lower than other types of loans, and the interest may be tax-deductible. However, defaulting on a home equity loan could result in the loss of the home. It's important to carefully consider the risks and benefits before applying for a home equity loan and to make sure the borrower has a solid plan for repayment.

Bad Credit Loans in Oklahoma

For those with bad credit, obtaining a loan in Oklahoma can be a challenge. However, there are lenders who specialize in bad credit loans and offer higher interest rates and stricter terms. It's important to be aware of the risks of these types of loans and to make sure the lender is reputable. Borrowers may also consider improving their credit score before applying for a loan to increase their chances of approval and better rates.

Oklahoma Small Business Loans

Small business loan options in Oklahoma:

SBA loans: The SBA offers a variety of loan programs, including 7(a) loans, 504 loans, and microloans, to help small businesses access funding for things like, such as working capital, equipment purchases, and real estate investments.
Oklahoma Small Business Loans (OSBL): a program offered by the Oklahoma Department of Commerce that provides small business loans of up to $100,000 to qualifying businesses.
Rural Enterprises of Oklahoma, Inc. (REI): a nonprofit organization that provides loans and other financial services to small businesses in rural Oklahoma.
Invoice Financing: A way to borrow against unpaid customer invoices to improve cash flow.
Merchant cash advances: A lump sum of money advanced to a business in exchange for a percentage of future credit and debit card sales.

VA loans in Oklahoma

VA loans are available to eligible Oklahoma veterans and their families for home purchases or refinancing. These loans offer favorable terms, including low interest rates, no down payment, and no mortgage insurance. The Department of Veterans Affairs guarantees a portion of the loan, making it easier for lenders to offer favorable terms. It's important for veterans and their families to explore all available loan options and to work with a lender who is experienced in VA loans.

Oklahoma Student Loans

Many options are available to Oklahoma students to help finance their college education. These options include:

Federal Student Loans: Low-interest loans backed by the federal government that can be used to pay for education expenses.
Oklahoma Promise Scholarship: This program provides tuition assistance to low-income students who maintain a 2.5 GPA and meet other eligibility requirements.
Oklahoma Tuition Equalization Grant (OTEG): OTEG is a need-based grant that provides up to $2,000 per academic year to Oklahoma residents attending eligible private institutions in the state.
Oklahoma City Community Foundation Scholarships: The OCCF offers a variety of scholarships for students attending Oklahoma colleges and universities, including scholarships for students from specific regions or high schools in the state.

Oklahoma Income Information

The recently released 2021 U.S. Census reports show Oklahoma having a median household income of $56,956, significantly lower than the national median of $69,021. Oklahoma’s economy is primarily based on oil and gas production, agriculture, and aviation. The state has a low unemployment rate and a low cost of living, which attracts businesses to the state. Oklahoma’s median household income varies widely by county, with Canadian County being the highest at $73,591, just above the national average, and Adair County being the lowest at $34,375, the state’s poverty rate was 15.6% in 2021.

United States Census Bureau. “Poverty in the United States: 2021.” Accessed on April 30, 2023.
United States Census Bureau. U.S. Census Bureau QuickFacts: Oklahoma. Accessed on April 30, 2023.

Oklahoma Payday Lender Complaints

Below are trends associated with some payday lenders in Oklahoma, as reported to the Consumer Financial Protection Bureau.

Company Name	Count
ENOVO International Inc	6
CURO Intermediate Holdings	4
CNG Financial Corporation	2
Security Finance Corp	2
Advance America, Cash Advance Centers, Inc	2
Big Picture Loans, LLC	1
Total Complaints	174

Consumer Financial Protection Bureau. Consumer Complaint Database. Accessed on April 30, 2023.

Most Common Issues

Complaint type	Count
Unexpected fees or interest	62
Can’t contact lender	22
Struggling to pay loan	19
Received a loan didn’t apply for	17
Can’t stop withdrawals/charges from bank	12

What are the main reasons residents of Oklahoma apply for payday cash advance online or offline

Payday loans are typically used for nonnegotiable everyday expenses like your rent, utilities, and groceries. Per data reported by Pewtrust, the percentage of reasons described below

Reason	Share
Regular Expenses (Utilities, car payment)	53%
Unexpected emergency/expense	16%
Rent/Mortgage	10%
Something Special	8%
Other	5%
Did not answer	2%

Payday Lenders by City

Oklahoma City
Tulsa
Norman
Broken Arrow
Edmond
Lawton
Moore
Midwest City
Enid
Stillwater

Owasso
Muskogee
Bartlesville
Shawnee
Bixby
Jenks
Ardmore
Ponca City
Yukon
Duncan

Sapulpa
Del City
Bethany
Sand Springs
Mustang
Claremore
Altus
Durant
McAlester
El Reno

Frequently Asked Questions

Will applying for a payday loan impact my credit?

Payday loans are typically not reported to the three major credit reporting agencies, and most lenders do not conduct credit checks as part of their application process.

What do I need to apply for a payday loan?

To apply for a payday loan in Oklahoma, you will need to provide proof of income, contact and banking information, and a valid government-issued ID.

Can I cancel my payday loan?

Yes, borrowers in Oklahoma have the right to cancel a payday loan within 24 hours of signing the loan agreement.

Can a payday loan lender garnish my wages?

Yes, in Oklahoma, payday loan lenders can garnish your wages to collect on a debt.

Can spouses have separate loans?

Yes, spouses can have separate loans in Oklahoma. Each individual can apply for a loan based on their own creditworthiness and financial situation, and the loan will be in their own name.

When will I receive my funds if I am approved for a payday loan?

If approved for a payday loan, funds can typically be received on the same or next business day through direct deposit or in-person pickup, depending on the lender’s policies.

What happens if I can’t repay my payday loan on time?

If you can’t repay a payday loan on time, the lender may charge additional fees and interest, and take legal action to collect the debt, which can harm your credit score.

When could I apply for another payday loan?

In Oklahoma, you can apply for another payday loan as soon as you pay off your previous loan.