🎓Understand short-term loans before you sign
A practical guide to fee per $100 pricing, total repayment math, rollover risk, and lower-cost alternatives. Use the interactive tools below to see how the numbers actually work — before you commit to anything.
🧭 Find what may fit your situation
Four quick questions about your situation. We'll show you a personalized direction — whether to proceed carefully, compare options first, or pause and look at alternatives.
How much are you considering borrowing?
When does your next reliable income arrive?
Could you realistically repay in one pay cycle?
Have you used a short-term loan recently?
🔢 The 5 numbers on every loan disclosure
Federal Truth in Lending Act requires lenders to show these on the offer screen before you sign. If any are missing, close the tab.
Total of payments
The single most important figure. Principal + every fee + every interest charge = the dollar amount you'll repay. A $400 loan that costs $640 to repay is a $640 loan.
Payment date(s)
Specific calendar dates, not "your next payday." If your paycheck hits on the 15th and the ACH debit is set for the 14th, you will overdraft.
APR (Annual Percentage Rate)
Standardized cost of borrowing, annualized. A 14-day $300 loan with a $45 fee equals 391% APR. Useful for comparing loans with different term lengths.
Late and NSF fees
Typically $15–$30 per incident. Stack three missed payments and you've added $90 to the balance before catching up.
Rollover or refinance terms
Read this paragraph twice. Some lenders quietly enroll you in auto-renew. Single loans become multi-month debt cycles this way.
💵 How "fee per $100" actually adds up
Adjust the sliders below to see how a small fee per $100 translates into total cost, APR equivalent, and what happens when a loan is rolled over.
⚖️ Short-term loan structures compared
Different products solve different problems. Wrong product = small gap turns into long debt cycle.
| Type | Typical amount | Term | Best for |
|---|---|---|---|
⚡Payday / cash advance |
$100 – $500 | 1 pay cycle | One-time gap with confirmed paycheck |
📅Installment |
$500 – $5,000 | 4 – 24 payments | Gap longer than one pay cycle |
🏦Personal loan |
$1,000 – $35,000 | 1 – 5 years | Larger expense, decent credit |
💳Credit union PAL |
$200 – $2,000 | 1 – 12 months | Lowest cost (28% APR cap) |
🗺️ Loan availability by state
State law determines what's offered, allowed, restricted, or prohibited. Select your state to see general availability across loan types.
🚩 Red flags & how to spot scams
Legitimate lenders disclose costs upfront and never ask for fees before funding. Watch for these signals.
💸 "Pay an upfront fee for approval"
No legitimate U.S. lender requires payment before funding a loan. This is the #1 advance-fee scam pattern. Walk away.
✅ "Guaranteed approval — no checks"
No real lender guarantees approval to everyone. They underwrite. Anyone claiming otherwise is either selling your data or running a scam.
📞 Pressure to act in minutes
Real disclosures take time to review. Pressure tactics ("offer expires in 10 minutes") exist to bypass your judgment. Slow down.
🏝️ "Tribal lender, no state license needed"
Some tribal lenders operate legally. Others use sovereignty claims to charge above your state's legal cap. If they refuse to follow state law, walk.
📭 No real address or contact
If the only contact is a chat widget or generic email — no phone, no business address, no NMLS number — it's not a real lender.
🔐 Asks for full SSN before showing terms
Soft prequalification doesn't need full SSN upfront. Anyone collecting it before showing terms is running a data harvesting operation.
💡 Cheaper alternatives to try first
Each of these is cheaper than a typical payday loan — often by an order of magnitude. Most people skip them because they take an extra phone call.
Credit union PAL
Capped at 28% APR. $200–$2,000 over 1–12 months. Requires 1 month membership.
Earned wage access apps
EarnIn, DailyPay, Payactiv. Pulls money you've already earned. Tip-based or low fee.
Negotiate the bill itself
Hospitals, dentists, utilities almost always have hardship plans. Ask for the financial assistance application.
Employer payroll advance
Free at companies that offer it. Check your HR portal or ask directly.
Dial 211
United Way's directory connects you with local nonprofits handling rent, utility, food emergencies. Often grants, not loans.
Balance transfer card
If credit is decent: 12–21 months interest-free. Useful for larger one-time expenses.
💬 Common questions
What does "fee per $100" actually mean?
It's the pricing model most short-term lenders use. If the fee is $15 per $100 borrowed, a $300 loan has a $45 finance charge. To compare across products, calculate the total payback in dollars — that's what you'll actually pay back.
Why is APR on payday loans so high?
APR annualizes the cost. A $15 fee on $300 over 14 days looks small in dollars but works out to 391% when projected over a full year. The fee structure isn't designed for annual borrowing — but APR is the standardized way to compare it against other credit products.
Are rollovers really that risky?
CFPB research consistently shows roughly 80% of payday loans get rolled over or followed by another loan within 14 days. Each rollover adds another full fee without reducing the principal. Three rollovers on a $300 loan adds $135 in fees — 45% of the original amount.
What's the difference between soft and hard credit checks?
Soft checks are invisible to other lenders and don't affect your score. Hard inquiries can drop your score by a few points temporarily and stay on your report for ~2 years. Most short-term lenders use bank transaction data instead of credit bureaus, but installment and personal loans usually pull hard.
What if I can't pay on the due date?
Contact the lender at least 48 hours before the date. Most will work out a payment plan if you ask early. Waiting until after the debit bounces adds a $25–$35 NSF fee from your bank plus the lender's late fee, and your options narrow fast.
Can I cancel after signing?
In most states, yes — you have until the end of the next business day to rescind, return the principal, and owe nothing. This is called the "right of rescission." Check the lender's contract for the exact window in your state.
How do I know if a lender is legitimate?
Check NMLS Consumer Access (nmlsconsumeraccess.org) for licensing. A real lender will never ask for an upfront fee, will provide complete written disclosures before you sign, and will have a real business address and phone number.
Run your numbers before deciding
Use the calculator to see total repayment, APR, and rollover risk for your specific situation — or check options through state-licensed lenders if a loan still fits.
PDLoans247 is not a lender. Submitting an inquiry doesn't guarantee approval, funding, or specific terms.