Payday Loans and Cash Advance in Nevada

Legal, no rate cap, 35-day term. Below: the law, the limits, what $300 costs here, who regulates it, and how to request a cash advance online in Nevada.

Is a Cash Advance Legal in Nevada?

Payday loans, called deferred deposit loans in Nevada law, are legal under Chapter 604A of the Nevada Revised Statutes and are licensed and examined by the Financial Institutions Division. Nevada sets no ceiling on the fee or interest rate; NRS 99.050 lets the parties to a contract agree on any rate. Instead the statute limits the loan to 25 percent of your expected gross monthly income, caps the original term at 35 days, and bars any extension, renewal or refinancing that runs past 90 days from the original loan date. The lender must determine that you can repay before it lends, must give you until the close of the next business day to rescind at no cost, and must offer a repayment plan of at least 90 days if you default, during which it may not add fees. After default, interest is capped at the prime rate plus 10 percent for no more than 90 days, and everything collected beyond principal may not exceed the principal itself. A statewide database run by the Commissioner records every loan so lenders can see who already has one. At the $15 per $100 fee the CFPB describes as common, $300 for two weeks costs $45, about 391 percent APR, and a Nevada lender may charge more.

The governing law is Nevada Revised Statutes Chapter 604A, Deferred Deposit Loans, High-Interest Loans, Title Loans and Check-Cashing Services (NRS 604A.010 to 604A.960; deferred deposit loan rules at NRS 604A.501 to 604A.5034; database at NRS 604A.303; interest freedom at NRS 99.050).

Loan Limits and Terms in Nevada

Nevada limits the size, the clock and the aftermath rather than the price. The 25 percent of gross monthly income rule is satisfied if you give written proof of income and confirm in writing that the loan fits; the lender must also make its own ability-to-repay determination under NRS 604A.5011. The 35-day original term and the 90-day outer limit apply to every extension and refinance combined. If you default, NRS 604A.503 lets the lender collect only the unpaid principal, interest accrued before default, up to 90 days of post-default interest at prime plus 10 percent, and one or two $25 returned-item fees, and the sum of everything beyond principal may not exceed the principal. The database, required by NRS 604A.303, is what lets the Division see repeat borrowing across lenders.

What a $300 Loan Costs in Nevada

Nevada sets no maximum fee, so this example uses the $15 per $100 charge the CFPB describes as common for a two-week payday loan. On $300 that is 300 x 0.15 = $45, for a payoff of $345. APR = 45 / 300 x 365 / 14 = 3.91, or about 391 percent. A Nevada lender may charge a different fee, and the loan agreement must state the APR under the Truth in Lending Act. The hard limits are the 25 percent of gross monthly income cap on the amount and the 35-day original term.

Run your own numbers with the cash advance calculator.

Consumer Protections and Who to Call in Nevada

• No one may operate a deferred deposit loan service in Nevada without a license from the Commissioner, whether at a store, a kiosk, over the phone or through the Internet, and doing so is a misdemeanor (NRS 604A.400).
• A deferred deposit loan may not exceed 25 percent of your expected gross monthly income, and the lender must determine that you have a reasonable ability to repay based on your income, employment and credit history (NRS 604A.5017, 604A.5011).
• The original term may not exceed 35 days, and no extension, renewal, refinancing or consolidation may run past 90 days from the date the loan was made (NRS 604A.501).
• You may rescind the loan at no cost by the close of business on the next business day by returning the cash or the original check (NRS 604A.5023).
• If you ask before the due date and have not used one in the past 12 months, you get an extended payment plan of at least four payments over 60 days with no added interest or fees (NRS 604A.5026).
• After default the lender must offer, within 30 days, a repayment plan of at least 90 days with no new fees and at most 20 percent up front, and may not sue while you keep to it (NRS 604A.5027, 604A.5021).
• A lender may not threaten criminal prosecution, and after default may collect only principal, earlier interest, 90 days of interest at prime plus 10 percent and up to two $25 returned-item fees (NRS 604A.5021, 604A.503, 604A.5031).

Complaints and licence checks go to the Nevada Financial Institutions Division: 702-486-4120, fid.nv.gov, or file a complaint at the regulator's complaint page. The federal CFPB also takes complaints about any lender.

Online vs Storefront Lenders in Nevada

NRS 604A.400 spells out that the license requirement applies to anyone operating a deferred deposit loan service at a kiosk, through the Internet, through any telephone, facsimile machine or other telecommunication device, or through any other means, so an online lender serving Nevadans needs the same Financial Institutions Division license, must enter its loans in the same statewide database and must follow the same 25 percent, 35-day and 90-day rules as a Las Vegas storefront. Operating without a license is a misdemeanor for the company and for the officers and employees involved. Nevada has a large licensed storefront industry because there is no rate cap, but unlicensed websites and lenders claiming tribal or out-of-state status still solicit residents; those loans do not carry the repayment plan, rescission and default protections of Chapter 604A. The Division lists licensees on its site and takes complaints about check cashing and payday loan companies by phone at 702-486-4120, by email and through its online complaint form. It also points borrowers to the CFPB for lenders it does not license.

Alternatives If a Payday Loan Is Not the Right Fit

Nevada does not cap rates on installment loans either, so the cheapest options are usually not commercial lenders. Federal credit unions in the state offer Payday Alternative Loans, a small-dollar product with a capped rate and a small application fee for members, and many credit unions run emergency loan programs. An advance on wages from your employer, an overdraft line at your bank, a payment plan with the utility or medical provider you owe, and local emergency assistance can cover a one-time gap without a 35-day deadline. Nevada law also requires deferred deposit lenders to give customers information about public assistance and services under NRS 604A.5016, which is worth reading before borrowing. If you already have a deferred deposit loan, use the extended payment plan under NRS 604A.5026 before the due date, or, after default, insist on the 90-day repayment plan under NRS 604A.5027; both stop new fees, and the second also freezes collection while you pay.

Compare the installment loan and payday alternative loan options before you decide.

Cities We Cover in Nevada

• Las Vegas, NVLocal cost of living, ordinances and help lines

Frequently Asked Questions

Nearby States

• OregonThe fee cap, a worked example and the regulator to call in Oregon.
• IdahoThe fee cap, a worked example and the regulator to call in Idaho.
• UtahThe fee cap, a worked example and the regulator to call in Utah.
• ArizonaThe fee cap, a worked example and the regulator to call in Arizona.
• CaliforniaThe fee cap, a worked example and the regulator to call in California.