Complete guide
Answers, tradeoffs and next steps
Use the sections below to evaluate fit, not to predict approval.
State-specific decision hinge
Illinois’s core product decision is the PLPA annual-rate filter first, then payment-to-income and outstanding-loan constraints. Old fee tables are not reused.
Current state rule table
| State field | Current rule |
|---|---|
| PLPA APR cap | 36% on covered consumer loans |
| First-month payday payments | Combined payments due in first calendar month cannot exceed lesser of $1,000 or 25% of gross monthly income |
| Outstanding payday loans | No loan when borrower already has outstanding balance on 2 payday loans |
| Enforcement | Loans over PLPA APR cap are void under the cited act |
| Offer rule | Use current licensed lender terms only; many traditional high-cost payday models are economically incompatible with the cap |
Product scenario
For $2,400 gross monthly income, 25% is $600. Combined first-month payday payments cannot exceed the lesser of $1,000 and $600, so $600 is the relevant payment-side ceiling before affordability.