Funds are low, and you’re in full-blown panic mode. You don’t get paid again for days, and you need cash right away to cover an unexpected expense or financial emergency.
Relatives and friends can help you get over the hump. The bank could work, but the window between applying and receiving loan proceeds is too long. A payday loan seems to be the only viable option. Before you go that route, keep reading.
Options For Payday Loans in Michigan
Payday loans in Michigan are governed by the Deferred Presentment Service Transaction Act. They’re a simple way to get the fast cash you need, even if your credit isn’t up to par.
If you’re approved for a loan, you will hand over a postdated check for the loan amount and any applicable fees to the lender. When the due date rolls around, the payday lender will present the check to your bank for payment to retrieve the funds.
Keep reading to learn more about payday loans in Michigan and other more cost-efficient alternatives you may want to consider.
Requirements
Wondering if you qualify for a payday loan in Michigan? Lenders must abide by rules set forth by the state, but qualification criteria vary. In general, you should be eligible for a loan if you:
Are at least 18 years of age or older with a working phone number and email address
Have a valid driver’s license or source of identification
Have a steady, verifiable source of income
Have an open checking account that’s in your name and can receive direct deposits
The lender will request the following when you apply for a payday loan:
Your name, physical address, and Social Security number
A copy of your driver’s license or state-issued identification
You will also need to indicate the current date, the amount you are requesting and the number on the check from the account you will use to repay the loan, notes Michigan’s Department of Attorney General website.
Lender Will Pull Your Credit
Some lenders offer no credit check payday loans. Others may pull your credit if you’re seeking a long-term installment loan.
Stipulations
Under Michigan state law, you’re permitted to take out 2 payday loans at a time from separate lenders. Loan terms usually span 14 to 31 days but cannot exceed 31 days.
Max Loan Amount
Borrowers are permitted to borrow up to $600 per payday loan.
The maximum finance charges are as follows
Michigan’s finance charges are a little more complicated than most states. You will be charged a finance charge for every $100 increment.
15% on the first $100 borrowed
14% on the second $100 borrowed
13%on the third $100 borrowed
12% on the fourth $100 borrowed
11% on the fifth and sixth $100 borrowed
See the chart below to see the finance charges and APR for payday loans in Michigan.
Payday Loan Amount | Finance Charges | APR Week 1 | APR Week 2 | APR Week 4 | APR Week 4 |
|---|---|---|---|---|---|
$100 | $15 | 782% | 391% | 196% | 156% |
$200 | $29 | 756% | 378% | 189% | 151% |
$300 | $42 | 730% | 365% | 183% | 146% |
$400 | $54 | 704% | 352% | 176% | 141% |
$500 | $65 | 678% | 339% | 169% | 136% |
$600 | $76 | 660% | 330% | 165% | 132% |
Penalties
Unfortunately, steep penalties apply if you’re unable to repay the total loan amount, including fees, on time. Payday lenders charge a fee of up to $28.66 for a returned check fee.
Your financial institution may also assess a fee for insufficient funds if the payday lender attempts to collect what they’re owed and the payment is returned. The amount typically ranges between $28 and $36 per occurrence.
Some payday lenders offer extensions of up to 31 days to cash-strapped borrowers. However, they are not allowed to tack on additional fees.
Payday Loan Alternatives in Michigan
Want a more flexible or inexpensive solution to resolve your financial woes? Consider these payday loan alternatives.
Instacash
MoneyLion offers a fast, convenient way to access cash when you need it most. With the Instacash feature, you can get a 0% APR cash advance of up to $250 deposited directly to your bank account instantly.
There are no credit checks, interest charges or hidden fees. Plus, the feature is mobile-friendly, so you can request funds at the tap of a fingertip.
Give Instacash a try by downloading the MoneyLion app directly to your Apple or Android device and creating a free account with your email.
Then tap Instacash in the app and link your checking account to determine how large of an advance you qualify for through Instacash.
The best part about Instacash is that you can make interest-free payments, which beats payday loans that are accompanied by hefty interest and can be a pain to pay back on time.
Credit Builder Loans
Wouldn’t it be nice to get the cash you need and start rebuilding your credit? It’s possible to get the best of both worlds through a Credit Builder Loan.
When you make timely payments each month, the positive activity is reflected on your credit report, which boosts your credit rating. However, payday lenders don’t report to the credit bureaus, so you won’t have the luxury of working towards a higher credit score with a payday loan.
You can sign up for the Credit Builder Plus membership from MoneyLion and start restoring your credit health for a portion of what credit repair companies charge their clients. It’s only $19.99 per month and includes a Credit Builder Loan and the Instacash feature.
But what makes this program different is that you can actually access a portion of the funds right away. The remainder will sit in a Credit Reserve Account and accrue interest until you make the final payment.
MoneyLion reports to the 3 credit bureaus – Experian, Equifax and TransUnion – to give your credit the boost it needs. The monthly payment is affordable and automatically deducts the payment from your linked bank account.
ATMs Available
MoneyLion has a network of over 55,000 ATMs that MoneyLion Checking accountholders can use for free. Check out the available ATMs in Michigan’s largest cities.
City | ATMs Available within 50 Miles of City Center |
|---|---|
Detroit | 692 |
Grand Rapids | 204 |
Lansing | 242 |
Ann Arbor | 800 |
Flint | 600 |
You can find Allpoint ATMs in your local pharmacy, gas stations, independently, and more. Open your MoneyLion app to find the closest ATM to you.
Get the Fast Cash You Need Today!
Payday loans in Michigan aren’t the only way to find relief, though. Consider Instacash or a Credit Builder Loan from MoneyLion. Both are safe, inexpensive options that can help alleviate financial stress.
Get started by signing up for a MoneyLion membership. It’s fast, easy and unlocks the cash you need until payday rolls around in just minutes.
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Disclosures
Instacash® is an optional service offered by MoneyLion. Your available Instacash Advance limit will be displayed to you in the MoneyLion mobile app and may change from time to time. Your limit will be based on your direct deposits, account transaction history, and other factors, as determined by MoneyLion. Expedited delivery requires Turbo Fee. See Instacash Terms and Conditions for more information and eligibility requirements.
Credit Builder Plus membership ($19.99/mo) unlocks eligibility for Credit Builder Plus loans and other exclusive services. This optional offer is not a Pathward product or service. A soft credit pull will be conducted which has no impact to your credit score. Credit Builder Plus loans have an annual percentage rate (APR) ranging from 5.99% APR to 29.99% APR, are made by either exempt or state-licensed subsidiaries of MoneyLion Inc., and require a loan payment in addition to the membership payment. The Credit Builder Plus loan may, at lender’s discretion, require a portion of the loan proceeds to be deposited into a reserve account maintained by ML Wealth LLC and held by Drivewealth LLC, member SIPC and FINRA. The funds in this account will be placed into money market and/or cash sweep vehicles, and may generate interest at prevailing market rates. You will not be able to access the portion of your loan proceeds held in the credit reserve account until you have paid off your loan. If you default on your loan, your credit reserve account may be liquidated by the lender to partially or fully satisfy your outstanding indebtedness. May not be available in all states. Credit Reserve Accounts Are Not FDIC Insured • No Bank Guarantee • Investments May Lose Value. For important information and disclaimers relating to the MoneyLion Credit Reserve Account, see Investment Account FAQs and FORM ADV.
MoneyLion does not provide, nor does it guarantee, any third-party product, service, information, or recommendation. The third parties providing these products or services are solely responsible for them, as well as all other content on their websites. MoneyLion is not liable for any third party's failure with regard to those advertised products, services, and benefits. These advertised products and services may not be FDIC insured or bank-guaranteed, and may be subject to a different privacy policy than MoneyLion’s. You should check individual offers, products, and services to become familiar with any applicable restrictions or conditions that may apply. MoneyLion may receive compensation from third parties for referring you to the third party, their products or to their website.
Instacash is a 0% APR cash advance service provided by MoneyLion. Your available Instacash advance limit will be displayed to you in the MoneyLion mobile app and may change from time to time. Your limit will be based on your direct deposits, account transaction history, and other factors as determined by MoneyLion. This service has no mandatory fees. You may leave an optional tip and pay an optional Turbo Fee for expedited funds delivery. For a $40 Instacash advance with a Turbo Fee of $4.99, your repayment amount will be $44.99. Generally, your scheduled repayment date will be your next direct deposit date. An Instacash advance is a non-recourse product; you will not be eligible to request a new advance until your outstanding balance is paid. See Membership Agreement and help.moneylion.com for additional terms, conditions and eligibility requirements.