What people use personal loans for
A personal loan is a lump sum repaid in fixed monthly payments, often for a larger cost such as a car repair, a move or medical bills; the examples below stay within Arizona limits.
What personal loans can cost
These examples show how cost adds up. They are illustrative, not a quote. Your lender sets the actual rate and terms.
Representative example
- Amount borrowed
- $3,000
- Annual percentage rate (APR)
- 29.99%
- Repayment
- 12 monthly payments
- Payment
- $292.45
- Finance charge
- $509.40
- Total of payments
- $3,509.40
Example: a $3,000 installment loan at 29.99% APR repaid in 12 monthly payments of $292.45 costs $3,509.40 in total, including a finance charge of $509.40. Illustration only; your lender will disclose your actual APR, payment schedule and total cost before you accept a loan.
Representative example
- Amount borrowed
- $1,000
- Annual percentage rate (APR)
- 29.99%
- Repayment
- 12 monthly payments
- Payment
- $97.48
- Finance charge
- $169.76
- Total of payments
- $1,169.76
Example: a $1,000 installment loan at 29.99% APR repaid in 12 monthly payments of $97.48 costs $1,169.76 in total, including a finance charge of $169.76. Illustration only; your lender will disclose your actual APR, payment schedule and total cost before you accept a loan.
Representative example
- Amount borrowed
- $500
- Annual percentage rate (APR)
- 29.99%
- Repayment
- 12 monthly payments
- Payment
- $48.74
- Finance charge
- $84.88
- Total of payments
- $584.88
Example: a $500 installment loan at 29.99% APR repaid in 12 monthly payments of $48.74 costs $584.88 in total, including a finance charge of $84.88. Illustration only; your lender will disclose your actual APR, payment schedule and total cost before you accept a loan.
What Arizona law allows
| Product | Status | APR cap | Amount | Term | License | Law |
|---|---|---|---|---|---|---|
| Installment and personal loans[1][2][3] | Allowed | 36% APR (top tier) | Up to $10,000 | Not set by statute | Consumer Lender License | A.R.S. Section 6-601 et seq. |
| Verified against the statute and regulator on September 23, 2026. Laws change; confirm with the regulator before you borrow. | ||||||
Bars place each APR cap on a 0 to 400% scale; the pin marks the cap. A striped bar means the statute sets no numeric cap.
The rules in full
Installment and personal loans
- Rate cap
- Arizona Consumer Lender Act (A.R.S. Title 6, Chapter 6, Section 6-601 et seq.) caps licensed consumer lender loans of $10,000 or less on a tiered basis: up to 36% per year on loans of $3,000 or less, and on larger loans 36% on the first $3,000 plus 24% on the amount over $3,000 (or a single blended rate producing the same total finance charge).
- License
- Consumer Lender License issued by the Arizona Department of Financial Institutions (DIFI).
Full detail for every loan type: Arizona lending laws.
Help in Arizona
Rent and jobs in Arizona
Typical rent and the jobless rate, to weigh before a loan payment.
Other options in Arizona
Cheaper options to try first
Worth checking whatever your credit: these can cost less than a high-rate loan.
- Credit union payday alternative loans (PALs), capped at 28% APR under NCUA rules (12 CFR 701.21).
- Nonprofit credit counseling through the National Foundation for Credit Counseling.
- A payment plan from the company you owe, if you ask before you miss a payment.
- 211 for help with rent, utilities and food: call 211 or visit 211.org.
More cheaper options in Arizona.
Other loan types allowed in Arizona
Personal loans in nearby states
- New MexicoAllowed 36% APR
- UtahAllowedNo rate limit in state law No rate limit
- NevadaAllowedNo rate limit in state law No rate limit
- ColoradoAllowed Limit depends on loan size
- CaliforniaAllowed 36% APR
Sources
- Justia. law.justia.com/codes/arizona/title-6/section-6-601. Retrieved September 23, 2026.
- difi.az.gov. Arizona Department of Financial Institutions (DIFI). Retrieved September 23, 2026.
- azleg.gov. A.R.S. Section 6-601 et seq.. Retrieved September 23, 2026.
- National Low Income Housing Coalition. Out of Reach 2026: Arizona. Retrieved September 23, 2026.
- U.S. Bureau of Labor Statistics. Local Area Unemployment Statistics (LAUS), All States, Seasonally Adjusted. Retrieved September 23, 2026.
Important disclosures
APRs vary by lender and state in Arizona. Each lender sets its own rates and terms and must show you the APR before you sign.
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- Questions about a lender licensed in Arizona? Contact the Arizona Department of Financial Institutions (DIFI) or file a state complaint.
- You can submit a complaint about any lender to the Consumer Financial Protection Bureau at consumerfinance.gov/complaint.