Payday Loans and Cash Advance in Atlanta, GA
Prohibited; licensed installment loans only in Georgia. What a shortfall looks like on Atlanta rent and pay, the local rules, who to call for help, and how to request a cash advance online.
Atlanta's paychecks come from a long list of big names: Delta and the airport, Emory University and Emory Healthcare, Grady, Home Depot, Coca-Cola, UPS, the state government downtown, Georgia Tech and Georgia State, and the film studios that have spread across the metro. A lot of that money is earned by commuters who live outside the city limits. Inside them, the picture is more mixed. Households in Vine City, Bankhead, Pittsburgh, and Thomasville Heights work airport ramps, hospital kitchens, hotel housekeeping, and warehouse shifts, often at hourly rates, and many of them ride MARTA because a car in Atlanta means insurance and parking on top of the payment. The BeltLine has been good for property values and hard on rents; the median gross rent is $1,711, the highest in this group, and the median household income of $85,652 is pulled up by Buckhead and Midtown. Summer heat pushes Georgia Power bills up from June through September, and a single high bill can put a household behind. Georgia treats payday lending as a crime, so the question in Atlanta is less where to find one and more what the legal alternatives look like when a $500 gap opens between paychecks.
What a $500 Shortfall Looks Like in Atlanta
Atlanta's median household income of $85,652 comes to about $7,138 a month before taxes, so a $500 shortfall is roughly 7 percent of a month's income for a median household. Against the median gross rent of $1,711 it is about 29 percent of one month's rent. Those figures describe the middle of a city with a very wide income spread; for a household earning half the median, the same $500 is closer to 14 percent of the month.
Georgia Rules That Apply in Atlanta
| Rule | GA |
|---|---|
| Maximum amount | Payday loans: none, prohibited. Licensed installment loans: $3,000 (O.C.G.A. 7-3-11) |
| Maximum fee per $100 | Installment loans: interest up to 10% per year on the face amount, plus a loan fee of 8% of the first $600 and 4% of the rest, plus $3 per month maintenance (O.C.G.A. 7-3-11). General contracts of $3,000 or less: 16% simple interest (O.C.G.A. 7-4-2) |
| Maximum term | Installment loans: 36 months and 15 days (O.C.G.A. 7-3-11) |
| Rollovers | Not applicable; payday loans are prohibited |
| $300 for 14 days | $28.25 fee, 246% APR |
The full law, the regulator's phone number and the statute citations are on the Georgia cash advance page.
Local Ordinance in Atlanta
Atlanta relies on state law alone: Georgia's Payday Lending Act (O.C.G.A. 16-17-1 and following) makes payday loans illegal statewide and void, and small loans of $3,000 or less are handled by lenders licensed under the Georgia Installment Loan Act.
Free Help in Atlanta Before You Borrow
- United Way of Greater Atlanta 2-1-1: Metro Atlanta's referral line for rent, utility and food assistance, 24 hours a day; text your ZIP code to 898-211 or search online at 211online.unitedwayatlanta.org. Call 211 or visit unitedwayatlanta.org/211.
- Fulton Atlanta Community Action Authority: Community action agency for the City of Atlanta and Fulton County; administers LIHEAP energy assistance in person and by appointment only from its Kelly Street office. Call 404-320-0166 or visit facaa.org.
- St. Vincent de Paul Georgia: Statewide Catholic charity based in Atlanta offering rent, utility and food help aimed at heading off eviction and hunger. Call 678-892-6163 or visit svdpgeorgia.org.
- Georgia Department of Banking and Finance: Licenses installment lenders and takes complaints about lenders operating in Georgia; payday loans are illegal statewide, so check a lender's license here before you sign. Call 770-986-1633 or visit dbf.georgia.gov.
- Georgia Attorney General Consumer Protection Division: Takes complaints about illegal payday loans and abusive collection; toll-free in Georgia at 1-800-869-1123. Call 404-651-8600 or visit consumer.georgia.gov.
Frequently Asked Questions
Are payday loans legal in Atlanta?
No. Georgia's Payday Lending Act, O.C.G.A. 16-17, makes it a crime to make small loans of $3,000 or less outside the licensed lending system, and any payday loan made in violation of it is void. Repeat offenders face felony charges. Storefronts in Atlanta that advertise a cash advance are either licensed installment lenders selling a different product or are breaking the law. Check the license with the Department of Banking and Finance before you sign anything.
What legal small loans exist in Georgia?
Lenders licensed under the Georgia Installment Loan Act can make loans of $3,000 or less, repaid in installments, with interest capped by state law and a limited loan fee on top; the Consumer Protection Division notes licensed lenders may not charge more than 10 percent interest on those loans. Credit unions, bank small-dollar loans and earned-wage advances from an employer round out the options. A request form can match you with licensed installment lenders.
Who helps with a Georgia Power bill or rent in Atlanta?
Fulton Atlanta Community Action Authority at 404-320-0166 administers LIHEAP energy assistance for Atlanta and Fulton County, by appointment and in person only. St. Vincent de Paul Georgia at 678-892-6163 helps with rent and utilities when eviction or disconnection is close. United Way's 2-1-1 line keeps the current list of funds across the metro, and Georgia Power will set up a payment arrangement if you call before the due date.
An online lender says Georgia law does not apply because it is tribal. Is that true?
Georgia does not accept tribal affiliation as a defense to its payday lending ban; the Consumer Protection Division says loans made in violation of the Act are void regardless of who made them. Do not share bank details with a lender that makes that claim. File a complaint with the Department of Banking and Finance at 770-986-1633 or the Attorney General's Consumer Protection Division at 404-651-8600, and keep copies of every message and agreement.
