Complete guide
Answers, tradeoffs and next steps
Use the sections below to evaluate fit, not to predict approval.
Federal credit-union PALs create real product thresholds
NCUA says federal credit unions may offer PALs I and PALs II. PAL I runs from $200 to $1,000 with terms of one to six months, requires at least one month of membership and allows an application fee tied to actual processing cost up to $20. PALs II can go up to $2,000 with terms of one to 12 months and does not use the same one-month membership waiting period. Both structures include amortization and rollover safeguards. NCUA_ACCESS NCUA_PAL2
| Feature | PAL I | PAL II | Why Payday Hex cares |
|---|---|---|---|
| Amount | $200–$1,000 | Up to $2,000 | The requested amount changes which PAL structure could fit |
| Term | 1–6 months | 1–12 months | Repayment is amortized rather than one balloon payment |
| Membership | At least 1 month | No PAL-I one-month waiting requirement | Urgency can affect access |
| Application fee | Actual processing cost, max $20 | Fee safeguards apply | Show dollar fee, not only APR |
| Rollovers | Not allowed | Not allowed | Prevents a refinance-by-fee path |
Responsible small-dollar design focuses on successful repayment
FDIC examination guidance says well-designed small-dollar products should align amount and repayment with affordability, minimize repeat borrowing and support successful repayment of principal, interest and fees in a reasonable timeframe. FDIC_SDL
This normalizes a $500 need to illustrate how structure can change total cost. It is not a lender ranking and does not imply PAL availability.