Payday Loans Utah

Access swift funds in the Beehive State with zaving's user-friendly online application process for payday loans in Utah.

Last updated by Zaving Editorial Team, on April 16th, 2024

Seeking payday loans in Utah? Experience a hassle-free online application process with zaving for quick access to funds. Apply seamlessly and navigate your financial challenges with ease. Get started today!

What are payday loans and can I get them in Utah?

Payday loans offer individuals facing urgent financial needs quick access to cash, typically requiring repayment within a short timeframe. In Utah, payday loans, commonly known as ‘deferred deposit loans’ in the state, are legal. However, while they are easily accessible in the state, they often come with substantial fees and high-interest rates, making them an expensive form of borrowing.

Eligibility requirements for payday loans in Utah include:

  • Age: Applicants must be at least 18 years old.
  • Income: Proof of a steady source of income, such as employment or regular benefits like Social Security or disability payments, is required.
  • Residency: Borrowers must be US citizens or permanent residents residing in Utah.
  • Bank account: An active checking account is generally necessary, as it is where the loan funds are deposited and repayment is withdrawn.
  • Identification: Applicants are often required to provide a valid government-issued photo ID for identity verification.


The high fees and interest rates associated with payday loans make them a risky option for borrowers, potentially trapping them in a cycle of debt if not managed carefully. Therefore, before considering a payday loan in Utah, it's crucial for borrowers to thoroughly understand the terms and conditions of the loan and ensure they are able to pay back their loan on time.

What are the rules for payday loans in Utah?

In Utah, payday loans are governed by specific regulations, but they have relatively loose restrictions compared to other states.

The rules for payday loans in Utah include:

  • Interest rate (APR): Not specified. However, the average APR in the state is in excess of 600%.
  • Minimum loan amount: Not specified
  • Maximum loan amount: There is no limit on the maximum loan amount.
  • Minimum loan term: Not specified
  • Maximum loan term: The maximum loan term is 70 days (equivalent to 10 weeks).
  • Number of rollovers: Rollovers are permitted, but they must not exceed 10 weeks or 70 days. However, a deferred deposit lender cannot roll over a loan without the borrower's request.
  • Maximum finance rate and fees: There is no limit on financing fees, charges, or the total APR.


Borrowers in Utah should carefully review their loan contracts to understand the total amount they will be required to pay. Since there are no limits on financing fees, charges, or APR, borrowers need to be vigilant about the terms of their loans to avoid excessive costs. Additionally, while rollovers are permitted, they should be approached with caution to prevent borrowers from being trapped in a cycle of debt. It's crucial for borrowers to fully understand the terms and conditions of payday loans in Utah.

What are the pros and cons of payday loans in Utah?

When considering payday loans in Utah, it's crucial to evaluate the pros and cons of this financial option.

Pros:

  • Quick access to cash: Payday loans offer immediate funds, providing relief for urgent financial needs.

  • Minimal eligibility requirements: Borrowers typically need only a steady income source and an active bank account to qualify, making payday loans accessible to many individuals in Utah.

  • Convenience: Payday loans are readily available from numerous storefront locations and online platforms, offering convenience for borrowers.

  • Flexibility in loan amount: Unlike states with set minimum or maximum loan amounts, Utah offers flexibility in borrowing depending on individual needs.

Cons:

  • High costs: Payday loans in Utah come with exorbitant interest rates and fees, resulting in APRs exceeding 600%, making them an extremely expensive form of borrowing.

  • Short repayment terms: Borrowers are required to repay the loan within a short period, typically within 70 days, leading to potential financial strain.

  • Risk of debt trap: The combination of high costs and short repayment terms can trap borrowers in a cycle of debt, where they continually borrow to cover previous loans, exacerbating their financial situation.

  • Limited consumer protections: Utah's minimal regulations offer little protection to borrowers, leaving them vulnerable to predatory lending practices and unfair terms.

More of your frequently asked questions about payday loans in Utah

Can I take out multiple payday loans in Utah?

Yes, borrowers in Utah can typically take out multiple payday loans simultaneously. Utah state law does not set any limits on the number of payday loans a borrower can have at one time. Nonetheless, borrowers should be cautious when taking out multiple loans, as it increases their overall debt burden and the risk of falling into a cycle of debt. Additionally, borrowers should ensure they can afford to repay all loans on time to avoid additional fees and penalties.

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What happens if I can't repay my payday loan in Utah?

Utah law provides some protections for borrowers facing repayment difficulties. Once every 12 months, you have the option to enter a 60-day repayment plan, during which you must pay back the outstanding loan amount in four equal installments. Lenders cannot charge an additional fee for this arrangement, but if you default on the repayment plan, a $20 fee may be applied. Although payday lenders can't pursue criminal action, they can seek judgment for the loan amount, interest, attorney's fees, and court costs if you default. Therefore, if you're unable to repay your payday loan in Utah, it's essential to take action promptly and contact your lender to discuss your situation.

Can I get a payday loan in Utah with bad credit?

Yes, individuals with bad credit can still potentially qualify for a payday loan in Utah. Payday lenders typically focus less on credit scores and more on the borrower's ability to repay the loan based on their income. Therefore, as long as you have a steady source of income, such as employment or regular benefits, you may still be eligible for a payday loan regardless of your credit score. However, it's essential to note that payday loans in Utah come with high interest rates and fees, so borrowers should carefully consider their ability to repay the loan on time before proceeding.

What are some alternatives to payday loans in Utah?

In Utah, alternatives to payday loans include seeking assistance from credit unions, which often provide small-dollar loans with more favorable terms, such as lower interest rates and longer repayment periods. Additionally, individuals can explore personal installment loans from banks or online lenders, which allow for repayments over a longer term. Nonprofit credit counseling services offer financial advice and may provide debt management plans to help individuals better manage their finances. Emergency assistance programs from local community organizations and government agencies can also provide financial support in times of need. Lastly, borrowing from family or friends may offer a more flexible and affordable option, but it's essential to establish clear terms and repayment plans to avoid potential strain on relationships.