According to state law in Ohio, payday loans are legal. Max loan limit is Ohio is $1,000. Payday loans can be issued for the term from 91 to 1 year with the maximum interest rate of 28% (APR). One payday loan at a time is allowed. No rollovers are allowed.
Rates, Fees and Other Charges in Ohio
- Ohio does not allow APR in excess of 28%.
- Now, the loan cost (including the fees and interest) can’t be over 60% of the loan’s original principal.
- Lenders can withdraw a monthly maintenance fee that’s the lesser of 10% of the loan’s principal or $30.
- 2% loan origination charge is allowed for a loan of $500 and more; no interest is charged on the loan origination charge.
- An ability-to-repay (ATR) requirement must be complied with by a lender in case of loans under 90 days. In such cases, a monthly payment should not exceed 7$ of a borrower’s monthly net income or 6$ of gross income, whichever is greater.