Loans in California: Payday and Installment Options
Page last reviewed: October 28, 2026 · Reviewed for accuracy by Betty Walsh
In California you can borrow up to $255 in cash with a payday loan due within 31 days, or take an installment loan repaid monthly. For licensed lenders, the rate cap depends on the loan size, up to $9,999.
| Payday loan | Up to $255 cash for a $300 check, due within 31 days |
| Installment loan | Tiered rates under $2,500; about 39.9% a year to $9,999 |
| Example | $1,000 over 12 months: about $95.56 a month at the cap |
| Regulator | Dept. of Financial Protection and Innovation, 1-866-275-2677 |
| You need | ID, proof of income and a bank account |
What Each California Loan Costs at the Legal Limit
The most a licensed lender can charge for a typical loan of each kind, with the administrative fee included ($50 on $1,000, $75 on $3,000):
| Loan | How you repay | Most it costs |
|---|---|---|
| $255 payday | Repay $300 within 31 days | $45 (~460% APR*) |
| $1,000 installment | 12 × $95.56 | ~$197 (~36% APR) |
| $3,000 installment | 24 × $183.37 | ~$1,476 (~43% APR) |
| $10,000+ installment | Set by your contract | No state rate cap |
Worked out from California law, not offers from lenders in our network; a lender can charge less.
*APR on a 14-day loan. These caps bind lenders licensed under California law. Banks and credit unions follow their own rules, so a bank loan found online can carry a higher APR.
$255 for a Month, or Monthly Payments?
- $255 or less covers what you need
- You can repay the full $300 check within 31 days
- You have no open payday loan with that lender
- You need more than $255, or months to repay
- You'd rather pay monthly than in one lump sum
- On $2,500 to $9,999, you want your payments reported to a credit bureau
Turned down? Approved lenders in California's small dollar pilot lend $300 to $7,499 at up to 36% a year on the first $1,000, until the pilot ends on January 1, 2028.
Car Title Loans and Loans of $10,000 or More
A loan secured by your car is made under the California Financing Law (CFL), so the same caps by loan size apply. From $10,000 up, no statutory rate cap applies to a CFL loan, though a court can refuse to enforce unconscionable terms.
- If a title lender repossesses your car, it must give you at least 15 days' written notice before selling it.
- You can redeem the car by paying the loan in full, and may be able to reinstate the loan once in any 12 months.
Requesting a California Loan Through LendUp
- Pick the loan, then have your ID, proof of income and bank account details ready.
- Submit one request through LendUp. Lenders in our network review it, and any offer shows the APR, payments and total cost before you sign.
- Check the lender's DFPI license before you sign, and compare offers by APR and total cost.
Two DFPI Licenses to Look For
- Search DFPI's list of licensees by the company's legal name.
- A payday lender needs a California Deferred Deposit Transaction Law license; an installment or title lender needs a California Financing Law license.
- If your offer names a bank as the lender, the state caps don't apply. Weigh its APR against the costs above.
Can't find the lender, or want to complain? Call DFPI at 1-866-275-2677 or file a complaint online.
- Willful violations void the loan. The lender can't collect the principal or charges.
- No criminal charges over a payday check. You can't be prosecuted, or threatened with it, if the check bounces.
- Early payoff is free. Pay a CFL loan early, in any amount, with no penalty.
- Military borrowers. Federal law caps most loans to active-duty servicemembers and covered dependents at a 36% Military APR.
Common Questions
What kinds of loans can I get in California?
Mainly payday loans, which California calls deferred deposit transactions, and installment loans under the California Financing Law, including car title loans. Banks and credit unions lend under their own rules.
What's the most I can borrow in California?
With a payday loan, $255 in cash. State law doesn't cap the size of an installment loan; the rate cap changes with the amount, and there's none from $10,000.
Can I get a loan in California with bad credit?
You can apply, though approval isn't guaranteed. If a California-licensed lender makes you an offer, your score can't push the price above the cap for that loan size.
What is the interest rate cap on loans in California?
For licensed installment lenders, about 39.9% a year on $2,500 to $9,999 (36% plus the federal funds rate), and tiered monthly rates below that. Payday fees are capped at 15% of the check.
Are car title loans legal in California?
Yes, under the California Financing Law, with the same caps by loan size below $10,000.
How do I check a California lender's license?
Search DFPI's licensee list by the company's legal name, or call DFPI at 1-866-275-2677.
Official Sources
General information, not legal advice. Facts on this page were checked against these sources on October 28, 2026.
- Cal. Fin. Code 23000-23027 - CDDTL definitions, licensing and operations
- Cal. Fin. Code 23035 - Payday loan amount, term and written agreement
- Cal. Fin. Code 23035-23038 - Payday fees, payment plans and prohibited practices
- Cal. Fin. Code 23045-23106 - Void payday loans, damages and penalties
- Cal. Fin. Code 22300-22347 - CFL consumer loan rates, fees and terms
- Cal. Fin. Code 22250-22252 - CFL loan-size thresholds
- Cal. Fin. Code 22365-22381 - Small dollar loan pilot program
- Cal. Fin. Code 22750-22758 - Void CFL loans and penalties
- DFPI - Payday lenders
- DFPI - Consumer and commercial loans (licensee search)
- DFPI - Submit a complaint
- Federal Reserve - H.15 selected interest rates (federal funds rate)
- CFPB - Rights under the Military Lending Act
- Cal. Fin. Code 22050 - Exemptions, including banks and credit unions
LendUp isn't a lender. We pass your request to lenders in our network; offers aren't guaranteed, and we may earn compensation if a loan is funded.