There are limits on how many outstanding payday loans a resident of Oregon has at once. A borrower is not allowed to have more than one active payday loan at any one time under state law. Borrowers are limited to two new payday loans every 60 days. The limits prevent payday loan providers from offering more loans to borrowers, protecting them from falling into a never-ending cycle of debt. Oregon payday loan applicants must know their financial situation and repayment ability before applying. 

Overview Of Payday Loans

A Payday loan is a short-term loan with high-interest rates and fees due on the borrower’s next payday. They are useful to cover emergency expenses or bills. Other payday lenders provide installment loans with longer payback schedules but have higher interest rates and costs, trapping customers in debt. They do not report the payments to credit bureaus, which means that making on-time payments on a payday loan did not help to improve their credit score. Due to the high-interest rates and potential for predatory lending practices, payday loans must be a last resort. Working with a nonprofit credit counseling organization or financial coach is helpful if one has trouble making ends meet or paying off debt.

Are Payday Loans Legal in Oregon?

Yes, payday loans are legal in Oregon. The Oregon Division of Financial Regulation regulates payday loans. The state has put in place certain restrictions to protect borrowers from predatory lending practices. The maximum amount borrowers get $50,000 and the repayment term is at most 60 days. Lenders’ maximum interest rate on payday loans is 36%, lower than other states allow. 

Oregon requires payday lenders to obtain a license and follow specific regulations like providing borrowers with a written loan agreement that discloses all fees and terms. They restrict lenders in the number of loans they offer to borrowers yearly and ban lending to individuals who already have outstanding payday loans. Borrowers must explore alternative options, like borrowing from a credit union or seeking assistance from a financial counseling service.

What are the procedures for obtaining Payday Loans in Oregon?

The procedure for obtaining Payday Loans in Oregon is to first look for licensed online payday lenders in Oregon and study their qualifying criteria to get a payday loan. Borrowers have to fill out the application properly. Applicants must check the lender’s loan conditions before getting a loan. The lender deposits the funds into the borrower’s bank account, and the borrower must repay the loan after the loan agreement.

  1. Look for online payday lenders that operate in Oregon. Applicants must search for online lenders, read reviews, and check their credentials to know they are licensed to operate in the state.
  2. Each lender has its eligibility requirements. Review them to know that one meets the lender’s requirements before applying for a loan.
  3. Fill out the application accurately and honestly. Complete the online application form with personal and financial information once find a lender.
  4. The lender reviews the application and makes a decision. The lender provides individuals with loan terms, including the loan amount, fees, and repayment schedule.
  5. Review the loan terms and understand them before accepting the loan. Sign the loan agreement and provide any other information the lender requires if one agrees to the terms.
  6. The lender transfers the money into the borrower’s bank account once the lending paperwork is final. Its process takes anywhere from a few hours to a few business days.
  7. Repay the loan according to the terms of the agreement. Make on-time purchases to prevent late fees and other fines.

What Are The Qualifying Requirements To Get Oregon Payday Loans?

The requirements to qualify for Oregon payday loans include being at least 18 years old, having a valid government-issued ID like a driver’s license, being a resident of Oregon and providing proof of address, having a steady source of income like a job or government benefits, having an active checking account in their name, and providing a phone number and email address for contact and verification purposes. Meeting its requirements is necessary to increase the chances of getting approved for payday loans in Oregon.

  • Be at least 18 years old or older
  • Have a valid government-issued ID, like a driver’s license
  • Be a resident of Oregon and provide proof of address
  • Have a steady source of income, like a job or government benefits
  • Have an active checking account in their name
  • Provide a phone number and email address for contact and verification purposes.

What Are Payday Loans Regulations in Oregon?

Payday regulations in Oregon help protect consumers from predatory lending practices and that borrowers are informed about the terms and fees associated with payday loans. Here is a list of regulations governing payday loans in many states, including Oregon.

Loan Limit

Loan limits refer to the maximum amount of money a borrower receives through a loan. It protects borrowers from getting into debt that they are unable to afford to repay and prevents them from falling into a cycle of debt. The maximum amount a borrower receives from a payday lender varies by state and lender. The maximum loan amount for an Oregon payday loan is $50,000, but the amount a borrower receives depends on their income and other factors. 

Repayment Terms

Repayment terms refer to the conditions and schedule for repaying a loan, including the amount of each payment, the frequency of payments, the length of the repayment period, and any fees or penalties associated with late or missed payments. It varies widely depending on the type of loan, the lender, and the borrower’s creditworthiness. Other loans have fixed interest rates and monthly payments, while others have variable rates and a flexible repayment schedule. Review and understand the repayment terms of any loan before signing a loan agreement. Get the bills paid on time to stay out of trouble.

Interest Rates

Interest rates refer to the percentage of the loan amount that a borrower pays to the principal amount as a fee for borrowing money. Interest rates are fixed or variable and vary depending on factors like the borrower’s credit score, the type of loan, and market conditions. Payday loans with higher interest rates result in higher monthly payments and total interest paid over the life of the loan. Compare interest rates from different lenders when shopping for a loan, as even small differences in interest rates impact the total cost of borrowing. Borrowers must aim to maintain a good credit score and financial history to qualify for lower interest rates and better loan terms in the future.

Lender Licensing

Lender licensing refers to the legal requirement for lenders to obtain a license from a regulatory agency or government entity to operate in a certain jurisdiction. The purpose of lender licensing is to let lenders comply with certain standards and regulations designed to protect borrowers from unfair practices and fraud. The requirements for lender licensing vary by jurisdiction, including background checks, financial reporting, and compliance with lending and disclosure laws. Verify that a lender has a license in their state or jurisdiction before entering into a loan agreement, as unlicensed lenders engage in predatory practices or charge excessive interest rates and fees.

Loan Disclosures

Loan disclosures refer to the information that a lender must provide to a borrower regarding the terms and conditions of a loan. Loan disclosures include the loan amount, interest rate, repayment schedule, fees, and any other information the borrower needs to know to make an informed decision about the loan. The purpose of Loan Disclosures is for borrowers to know the costs and risks associated with borrowing money and to help them compare loan offers from different lenders. Federal and state laws require lenders to provide certain disclosures, like the Truth in Lending Act (TILA) disclosure, which borrowers must provide within three days of applying for a loan.

Borrower Protection

Borrower protections are legal rights and regulations to safeguard borrowers from unfair lending practices and to know that lenders treat them fairly. Its protections vary depending on the type of loan and the jurisdiction. Borrowers must know their rights and protections when applying for loans and report any violations or unfair practices to the appropriate regulatory agencies.

Regulations of Payday Loans in Oregon

The maximum loan amount a borrower get is $50,000, with a minimum loan term of 31 days and a maximum loan term of 60 days. The cap of APR is at 36%, according to UStatesLoans.

Its regulations aim to protect borrowers from falling into a cycle of debt caused by high-interest rates and fees charged by payday lenders. Lenders are unable to charge more than its amount. Borrowers are allowed up to 2 rollovers, and criminal actions against them are prohibited.

Loan Feature


Maximum Loan Amount


Minimum Loan Term

31 days

Maximum Loan Term

60 days



Number of Rollovers Allowed


Criminal Actions Against Borrowers



What Are The Alternative Loan Options of Payday Loans in Oregon?

Alternative loan options are available for borrowers in Oregon, including personal loans, installment loans, credit unions, and borrowing from family or friends. Personal loans are unsecured loans with fixed interest rates and repayment terms requiring no collateral. Installment loans allow the borrower to receive a lump sum of money and repay it in regular installments over a specific period. Borrowing from family or friends offers the borrower more flexible repayment terms, lower interest rates, and a convenient option. Credit unions offer flexible eligibility requirements, lower interest rates, and personalized customer service.

Personal loans

Personal loans are unsecured loans that allow borrowers to receive a lump sum of money upfront, which borrowers must repay over time with interest. The loans are useful for various purposes, like debt consolidation, home improvement, or major purchases. Personal loans have fixed interest rates and repayment terms and require no collateral. The loan amounts and repayment terms vary depending on the lender, the borrower’s credit history, and income. Personal loans are available from traditional banks, credit unions, and online lenders. The application process involves a credit check and income verification.

Installment Loans:

Installment loans allow the borrower to receive a lump sum of money and repay it in regular, fixed installments over a specific period. They are secured or unsecured and are useful for various purposes, like debt consolidation, home renovation, or purchasing a car. The main advantage of installment loans is their lower interest rates than other loan types, making them an affordable option for borrowers. They have a predictable repayment schedule, simplifying budgeting and payment planning. 

Credit unions

A Credit union is a nonprofit financial institution that offers various financial products, including installment loans. Credit unions have more flexible eligibility requirements than traditional banks and offer lower interest rates and fees. Credit union members are the institution’s owners, which leads to a more personalized and customer-centric experience. Credit unions offer financial education and counseling to help members manage their money and improve their credit scores. Opening a savings account and satisfying other membership criteria is required to apply for an installment loan from a credit union.

Family or Friends

Borrowing money from family or friends is a useful alternative to payday loans. They offer lower or no interest rates, saving the borrower money. The advantage of borrowing from family or friends is offering more flexible repayment terms, as the lender works with the borrower to set up a repayment schedule that works for both parties. Another advantage is that borrowing from family or friends is a convenient and accessible option. 

Bottom Line

Payday loans in Oregon have regulations with limits on loan amounts and terms and strict guidelines for lenders on interest rates, fees, and repayment schedules. Oregon Payday Loans provide quick cash in an emergency but have high fees and high-interest rates, making them an expensive option for borrowing money. Borrowers must seek out alternative funding sources and be cautious before signing any agreements to avoid falling into a cycle of debt.

Frequently Asked Questions

What is the maximum number of payday loans a person can have at the same time in Oregon?

Oregon law prohibits having more than two payday loans outstanding from licensed lenders at the same time. Borrowers cannot take out a new payday loan if they already have two active ones.

Are there any restrictions on the number of payday loans one can obtain in Oregon?

Yes, Oregon law restricts borrowers to no more than two payday loans at a time from licensed lenders. You also cannot rollover existing payday loans or immediately take out a new loan upon paying off a previous payday loan.

Is it legal to have multiple payday loans simultaneously in Oregon?

It is legal to have up to two payday loans outstanding at the same time in Oregon, but no more than that. Having a third payday loan at the same time as two existing ones would violate state regulations.

What are the consequences of exceeding the maximum allowable payday loans in Oregon?

The consequences may include state penalties, fees and interest for unlicensed lending if using an unregistered lender for more than two loans. Having multiple loans also risks falling into debt traps and aggressive collection efforts.

Are there any specific regulations or laws governing the number of payday loans in Oregon?

Oregon Statute 725A.064 specifically restricts borrowers to no more than two payday loans at a time from licensed lenders. Additional restrictions include limits on rollovers, principal amounts, fees, and collection practices that lenders must adhere to.

Huxley Forbes

Huxley Forbes is a Writer at PaydayChampion. He is responsible for writing PaydayChampion's content and assists in producing loan reviews, student loan guides, and other material to answer financial concerns and assist them to save money. Huxley Forbes came to PaydayChampion as an author in the year 2011, when he joined as a writer. In the years since Forbes has been helping to build PaydayChampion from scratch becoming one of the senior members of the team.