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Payday Loans in Las Vegas: What to Know Before You Borrow

This page is general information, not legal or financial advice, and NLVHA.com does not make or arrange loans. Rules can change: check the current text of NRS Chapter 604A or ask the Nevada Financial Institutions Division before you rely on it.

A payday loan (in Nevada law, a deferred deposit loan) is a short-term loan where you give the lender a check or an authorization to debit your bank account, and the lender agrees not to cash it until your next payday. They are fast, but they are one of the most expensive ways to borrow. Nevada law, mainly NRS Chapter 604A, sets limits that protect borrowers. Here is what they mean in practice.

How much you can borrow

A licensed lender may not make a payday loan that is more than 25% of your expected gross monthly income (NRS 604A.5017). The lender is also required to consider whether you can repay the loan (NRS 604A.5011), and generally may not give you a second payday loan while the first is unpaid if together they would exceed that 25% limit (NRS 604A.5018).

How long the loan can last

  • The original term of a payday loan generally may not exceed 35 days (NRS 604A.501).
  • An extension must be agreed in writing and may not run more than 90 days past the end of the original term. Unpaid interest and fees from the original loan may not be rolled into the principal of a new loan.
  • You may repay early, in full or in part, at any time without extra charges, and you are entitled to a receipt (NRS 604A.508, 604A.5081).

If you cannot pay on time

  • Before suing or starting collection, the lender must offer you a repayment plan (NRS 604A.5083). You generally have 30 days after default to accept it, the plan must give you at least 90 days unless you agree to less, and the lender may ask for an initial payment of up to 20%.
  • After default, interest and fees are capped: in total they may not exceed the amount you borrowed (NRS 604A.503).
  • A lender may charge no more than $25 for a returned check or failed debit, and no more than two such fees on one loan (NRS 604A.5031).
  • A lender may not threaten you with criminal prosecution to collect a payday loan debt.

Before you sign

  • Check the license. Payday lenders in Nevada must be licensed by the Nevada Financial Institutions Division. Online lenders that are not licensed in Nevada are a common source of problems.
  • Read the APR in the disclosure statement, not just the fee. A small fee on a two-week loan can mean an annual rate of several hundred percent.
  • Never sign a contract with blank spaces, and do not let a lender take more than one check or debit authorization for one loan.
  • A loan may not be made conditional on buying insurance or other products.

Alternatives worth trying first

  • Credit unions: many offer small short-term loans (often called payday alternative loans) at much lower rates.
  • Talk to your landlord or utility company about a payment plan before borrowing to pay a bill.
  • Local assistance: call 2-1-1 (Nevada 211) to find emergency rent, utility and food help in Clark County.
  • Nonprofit credit counseling can help you set up a budget or a debt management plan.
  • If you rent with a Housing Choice Voucher and your income drops, report the change to your housing authority: your share of the rent may be recalculated.

Where to complain

If you think a lender broke Nevada payday lending rules, you can file a complaint with the Nevada Financial Institutions Division. Under NRS 604A.900, a loan made in willful violation of the chapter can be void.