Tennessee Payday Loan Laws

Tennessee is a state that is extremely strict and rigid about the different kinds of payday loans that they would be able to provide to the necessary people who are in need of such loans. Recent surveys and stringent measures have only ensured that the payday loans in the state of Tennessee have been taken on by a strict and firm hand.

• Maximum APR – 459 percent
• Maximum Finance Fees – $15 per $100 dollars
• Maximum Financing Interest – 15 percent
• Maximum Quantity of Loans at One Time – One
• Maximum Payday Loan – $ 500
• Loan Term Limit – 7 Days
• Loan Term Maximum – 31 Days
• Total Number of Extensions: 3 times
• Loan Default Collections Actions Permitted: Non-criminal (exception for NSF checks)

With a lot of people going for payday loans, you would find that the lenders in Tennessee have actually found good loopholes in the state legislation about payday loans. They can keep paying their payday loans one by one, ensuring that the borrower would have tremendous problems in securing the loan as well as trying to pay off the entire loan at a single time. This is a measure that should be taken up at the earliest, and the state needs to intervene in order to ensure that such lenders do not have the upper hand in each and every such payday loans.

Another practice that is very common among the payday loan lenders nowadays is that they are actually trying to get the best possible amount of money for each and every payday loan by imposing their own rate of interest. This is strictly against the terms and agreements that have been issued by the State for payday loans, but taking the help of the helplessness of the people taking emergency payday loans, the people have been imposing such a huge interest rate.

Trying to pay off the amount of money that has been incurred by the interest rate would be steep enough, along with the principal amount in a particular month. This has resulted in a lot of people going bankrupt, or having a very hard time to trying to manage the different finances of the home as well as payday loans. This is a practice that should be stopped at the earliest by the government of Tennessee and ensure that search Tennessee payday loans can be regularized by the government at the earliest possible opportunity.

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