South Dakota Short-term Loan Terms and Rules in 2025

Common Capital is a Help Organization dedicated to providing the public with comprehensive, accurate, and accessible online information about payday loans in South Dakota.

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Short-term Loans Terms in South Dakota

Legal Status Legal
Maximum Loan Amount $500
Finance Charges $1.39 for a $100 loan given for 2 weeks
Interest Rate (APR) 36%
Minimum Loan Term Not Specified
Maximum Loan Term Not Specified

Short-term Loan Calculator

$250 Your Loan + $6.73 Your Fee =
$256.73 Total Cost

This loan calculator is provided as an estimator only. The details of your loan will depend on several factors including, but not limited to: loan amount, term, annual percentage rate (APR), fees, the state you live in, and the lender’s conditions. These details vary lender to lender and are subject to change at any time. The details of your loan will be provided to you by your lender.

Top Licensed Short-term Loan Lenders in South Dakota

Explore our expertly selected Top Licensed Payday Loan Lenders in South Dakota, providing trustworthy and legal avenues for your urgent financial requirements.

Lender
User Ratings
Branches
Cities
Category
Frontier Financial
User Raiting:
3.65
Branches: 2
Cities: 1
Category: Loan agency
OneMain Financial
User Raiting:
3.45
Branches: 2
Cities: 2
Category: Loan agency
BankWest
User Raiting:
3.00
Branches: 3
Cities: 3
Category: Loan agency
Direct Check
User Raiting:
1.00
Branches: 4
Cities: 4
Category: Loan agency
First Choice Payday Loan
User Raiting:
1.00
Branches: 4
Cities: 3
Category: Loan agency

South Dakota Short-term Loan Regulations

In South Dakota, payday lending practices are regulated under the South Dakota Codified Laws, particularly under Chapter 54-4, which covers Money Lending and Licensed Lenders. This regulatory framework underwent significant changes following a 2016 voter referendum, which led to the implementation of stricter rules for payday lenders.

As a result of these changes, payday loans in South Dakota are capped at a 36% annual percentage rate (APR). This cap is among the more stringent in the United States and has significantly impacted the operation of payday lenders in the state. The 36% APR limit applies to all fees, interest, and charges associated with the loan, making it unfeasible for many traditional payday lenders to operate profitably under these conditions.

Additionally, payday lenders in South Dakota must comply with federal regulations, including the Truth in Lending Act, which requires lenders to disclose the terms of the loan, including the finance charge and the APR. The Fair Debt Collection Practices Act also applies, regulating how debts are collected and prohibiting abusive, deceptive, and unfair collection practices. These federal laws, alongside South Dakota's state regulations, provide a comprehensive framework to protect consumers in the payday lending market.

What Are the Alternatives for Short-term Loans in South Dakota?

When searching for alternatives to payday loans, residents have several options to consider. These include installment loans, which offer structured repayment plans, and personal loans, providing flexibility and potentially lower interest rates. Exploring these alternatives can help borrowers manage their finances more effectively and avoid the high costs associated with payday lending

Guaranteed Installment Loans

In South Dakota, guaranteed installment loans provide a structured repayment plan, ideal for those needing predictable monthly payments. Unlike payday loans, these loans require a credit check and proof of income, offering longer terms and potentially lower interest rates. They are suitable for South Dakotans looking to manage larger expenses or consolidate debts more effectively.

Fast Title Loans

Fast title loans in South Dakota offer immediate funding using a vehicle as collateral. Different from cash advances, they require ownership of a car but can offer larger loan amounts based on the vehicle's value. This option is a quick solution for urgent cash needs without the stringent credit checks of traditional loans.

Emergency Loan without a Bank Account

For South Dakota residents without traditional banking, an emergency loan without a bank account offers a crucial alternative. These loans differ from short-term loans as they don't always require a checking account for approval, ideal for those facing unexpected expenses but lacking standard banking services.

Debt Consolidation Loan

A debt consolidation loan in South Dakota is designed to combine multiple debts into a single loan. Unlike payday lending, it offers longer repayment terms and potentially lower interest rates, making it an excellent strategy for South Dakotans looking to streamline their finances and reduce overall debt costs.

Instant Personal Loans

Instant personal loans provide quick financial relief in South Dakota, often with same-day approval. Unlike payday loans, they may require a credit check but offer more flexibility in loan amounts and repayment terms, making them an ideal solution for immediate personal financial needs.

Cash Loans with No Credit

In South Dakota, cash loans with no credit cater to individuals without a strong credit history. Unlike payday loans, these loans don't always require a credit check, making them accessible to a broader range of people in need of immediate cash but with limited credit options.

Bad Credit Loans

Bad credit loans in South Dakota offer individuals with poor credit scores a chance to borrow, despite past financial challenges. Different from short-term loans, these loans may have more favorable terms and focus on the borrower's ability to repay, providing a valuable opportunity for those aiming to rebuild their credit history.

Quick P2P Loans

Quick P2P (peer-to-peer) loans in South Dakota connect borrowers directly with individual lenders, bypassing traditional financial institutions. These loans differ from payday loans by offering potentially lower interest rates and more flexible terms, appealing to those in South Dakota seeking alternative lending options outside of conventional banking systems.

How to Get a Short-term Loan with Bad Credit?

Easy Steps to Get Payday Loans With Bad Credit in South Dakota

Obtaining a payday loan with bad credit in South Dakota can be a simple process. Begin by identifying reputable lenders who cater to individuals with less-than-perfect credit. Gather essential documents, typically including recent pay stubs, a valid ID, and sometimes proof of residence. Submit your application through the lender's website or at a physical location. Approval can be quick, often within the same day, allowing for prompt access to funds.

Requirements to Get Paycheck Loans With Low Credit Score

To qualify for a payday loan with a low credit score in South Dakota, the criteria are generally straightforward. Lenders primarily require evidence of a consistent source of income, which is a key indicator of your ability to repay the loan. A current bank account and valid government-issued identification are also necessary. These requirements make payday loans a viable option for those who might not be eligible for traditional bank loans due to their credit history.

Basic Information about South Dakota State

Metrics
Value
State Capital
Pierre
Population
Approximately 0.9 million (as of 2021)
Location
South Dakota is located in the north-central part of the United States, known for its vast prairies, the Black Hills, and Badlands National Park.
Largest City by Population
Sioux Falls
Biggest National Parks
Badlands National Park, Mount Rushmore National Memorial, Wind Cave National Park

Submit a Complaint Against a Lender in South Dakota

If you need to submit a complaint against a payday lender in South Dakota, the primary regulatory body is the South Dakota Division of Banking. They ensure compliance with state laws governing payday loans. You can reach them at:

  • South Dakota Division of Banking, 1601 N. Harrison Ave, Suite 1, Pierre, SD 57501
  • (605) 773-3421
Submit a Complaint

FAQ

Are Payday Loans Legal in South Dakota?

Yes, payday loans are legal in South Dakota. The state has regulations in place that allow payday lending, subject to certain restrictions and consumer protections.

Why are Payday Loans Regulated?

Payday loans are regulated in South Dakota to ensure consumer protection and responsible lending practices. These regulations aim to prevent predatory lending practices and excessive interest rates.

What Are the Restrictions on Payday Loans in South Dakota?

In South Dakota, payday loans are subject to restrictions, including a maximum loan amount, maximum loan term, and limits on finance charges. These regulations are designed to prevent borrowers from falling into cycles of debt.

Can Out-of-State Lenders Offer Payday Loans?

Out-of-state payday lenders are allowed to offer payday loans to residents in South Dakota, but they must adhere to the state's regulations and licensing requirements.

Where Can I Report Unlawful Payday Lending Practices?

If you encounter any unlawful payday lending practices or believe you have been targeted by predatory lenders in South Dakota, you can report these issues to the South Dakota Division of Banking. They can investigate and take appropriate actions to address any violations of payday lending laws in the state. Reporting such practices helps protect consumers from unfair treatment and promotes responsible lending.