Under Kentucky law, each cash advance location is required to have a license. A payday advance company must disclose its fee in writing before entering into a transaction with a borrower. It must refer to the fee set forth in the agreement as a service fee rather than interest. In Kentucky, a consumer can have two outstanding loans at a time, provided that both do not exceed $500. A payday loan business is prohibited from bringing a civil or criminal action against a borrower to collect on a defaulted loan.
A borrower can obtain up to $500 in payday loan funds.
The loan term ranges from 14 to 60 days.
Borrowers cannot rollover or extend a check cash advance loan.
A payday loan store can charge a maximum finance fee of $15 per $100 borrowed. The finance charge for a two-week loan in the amount of $100 is $17.65.
The APR for a two-week loan valued at $100 is 459%.