Illinois, that is also known as ‘the Prairie State’ and famous for its farmland, woodlands, hills, and water bodies. It is situated in the central part of the western US and joining with Indiana and the Mississippi River at two opposite ends. If you’re a resident of this state and need some urgent financial help then you must read the experience of mine.
Payday loans in Illinois Online – PaydayLV
Being a netizen of Illinois, I was quite unaware of the aids that I could get in emergency situations but thankfully, one of my friends told me about the payday loans that are allowed in the state. Actually, I was in trouble as due to my illness I was unable to work full-time last month and with less money, I couldn’t pay my utility bills. But with the help of a short-term loan of $600, I temporarily handle the situation for around 20 days and the day when I got a salary that was the due date to return the loan amount with interest that was $85. So, I had to refund $685 in terms of 20 days.
state rules regarding payday loans:
In Illinois, as per the state laws, there are 3 types of payday loan options you have: the first one is ‘small consumer loan’ whose APR can’t exceed from 99%, the second one is ‘payday installment loan’ which is basically a small installment loan that can last up to 6 months with an APR of nearly 400% on an average. Lastly, the normal payday loan that has to be refunded on a single day.
THOUGH TO APPLY FOR PAYDAY LOANS IN ILLINOIS IS QUITE EASY BUT BEFORE THAT, IT’S IMPORTANT TO UNDERSTAND YOUR RIGHTS. SO, THE FOLLOWING ARE A FEW THINGS TO KEEP IN MIND WHILE APPLYING:
- The highest limit to borrow money is $1000 or a quarter amount of your monthly gross salary (which so ever is less)
- The limit of the term for refunding of loans can lie between 13 days to 120 days.
- Charges of the loan can’t be more than 15.5% for every $100, whereas, the real average APR in Illinois is around 404%.
- No rollovers are allowed in the state, which means you can’t re-finance the loan in case of extending the repayment period.
- In case of installment payday loans, in which the refund can be done in fixed EMIs and the term limit for that is from 112 days to 180 days.
- While charging the fees of NSF (nonsufficient funds), the loan provider can’t charge more than $25 from you.
LET’S GET SOME INFO ABOUT THE THREE KIN OF PAYDAY LOANS IN DETAIL:
Small Consumer Loan: This is the loan with the least APR, as under the state laws annual rate can’t exceed the limit of 99%. Indeed, you can’t say it cheap but among the other short-terms, it is. If we talk about the refunding period, that is also longer than payday loans. To stay with the loan for a longer time, you’ll need to pay at least some amount to the lender that can’t be more than 22.5% of your monthly gross salary.
Payday Installment Loan: It also has a longer refunding period than a payday loan but these are quite expensive than small consumer loans. The annual percentage rate for such small installment payday loans is as high as 400%, so, that’s the reason you should try to borrow small consumer loans. In this, there are some limitations of no rolling off the loan which means you’ll get a maximum of 6 months for the repayment. In this also, the monthly EMI can’t be more than 22.5% of your monthly salary.
Payday Loan: It’s a real short-term loan that has to be refunded in just 14 to 30 days and that too in one payment. In Illinois, the average APR for this short-term loan is approx. 400%. It’s a deadly combo of high interest and lowest term that can trap you into debt cycle if not borrowed before proper planning of money return. In case you are unable to pay on time then you can ask for the repayment plan from the lender that too without any extra interest, as per the state laws.