State guide

Maryland bad credit loans, loan laws and local help

Loan options, state rules and local help for Maryland residents with bad credit: which loan types Maryland law allows, what a typical loan can cost, and who to call when money is tight. Checked against state sources on September 23, 2026.

BadCreditMD is not a lender or broker. We explain your options; a lending network partner shares requests with lenders, who set their own rates and decide whether to lend. See disclosures.

Maryland at a glance

Loan options in Maryland

Every loan type we cover is listed, including the ones Maryland law does not allow, so you can see why and what else can work.

Other ways to borrow

What a loan can cost in Maryland

Worked examples at an illustrative rate, never above Maryland's rate cap for that loan amount where the law sets one. They are examples, not quotes.

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.

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
$3,000
Annual percentage rate (APR)
24%
Repayment
12 monthly payments
Payment
$283.68
Finance charge
$404.16
Total of payments
$3,404.16

Example: a $3,000 installment loan at 24% APR repaid in 12 monthly payments of $283.68 costs $3,404.16 in total, including a finance charge of $404.16. Illustration only; your lender will disclose your actual APR, payment schedule and total cost before you accept a loan.

Resources in Maryland

Free and low-cost places to turn in Maryland, each linked to its official source and dated when we last checked it.

  • Lending regulator and complaints

    Maryland Office of the Commissioner of Financial Regulation (OCFR) licenses lenders in Maryland. Check a lender's license here, and file a complaint if something goes wrong.

    labor.maryland.gov, iprod.dllr.state.md.us Checked September 23, 2026

  • 211

    Call 211 or visit your local 211 site to reach help with rent, utilities, food and other urgent bills.

    211md.org Checked September 23, 2026

  • Legal aid

    Free civil legal help for people with low incomes, including debt collection, repossession and eviction problems. Income limits vary.

    mdlab.org Checked September 23, 2026

  • Nonprofit credit counseling

    Nonprofit counselors can help you build a budget or set up a debt management plan. Look for an NFCC or FCAA member agency.

    nfcc.org Checked September 23, 2026

  • Federal complaints

    Submit a complaint about any lender to the Consumer Financial Protection Bureau.

    consumerfinance.gov Checked September 23, 2026 Available in Spanish

More Maryland resources appear here as we check each source.

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). Federal credit unions may offer small loans of up to $2,000 with terms of up to 12 months and an APR no higher than 28%, under NCUA rules (12 CFR 701.21). You usually need to be a member.
  • Nonprofit credit counseling. A counselor accredited by the National Foundation for Credit Counseling can help you build a budget or a debt management plan.
  • Ask your creditor for a payment plan. Utilities, hospitals and many lenders offer hardship or extended payment plans if you ask before you miss a payment.
  • Local assistance. Call 211, or visit 211.org, for emergency help with rent, utilities and food in Maryland.

The rules lenders follow in Maryland

These rules protect you as a borrower and explain the labels above. Each one links to the source we took it from. How we research state rules.

Allowed in Maryland: installment and personal loans. Not allowed: title loans and payday loans.

Lending law in Maryland
ProductStatusAPR capAmountTermLicenseLaw
Installment and personal loans[1][2][3][4][5] Allowed 33% APR (top tier) Up to $25,000 Not set by statute Consumer Loan license Md. Code, Commercial Law Title 12, Subtitle 3; Md. Code, Financial Institutions Title 11, Subtitle 2
Title loans[3][2] Not allowed Not allowed Not set by statute Not set by statute None Maryland Consumer Credit Law, per a 2018 amendment banning title loans outright.
Payday loans[4][2] Not allowed Not allowed Not set by statute Not set by statute No separate payday-loan license exists Md. Code, Commercial Law Title 12, Subtitle 3
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.

Rate, fee and license rules in Maryland

Installment and personal loans

Rate cap
Md. Com. Law 12-306(a) (loans made after July 1, 1982): for loans with original principal of $2,000 or less, 2.75% per month (33% per year) on the unpaid principal up to $1,000 and 2% per month (24% per year) on the part above $1,000; for loans over $2,000, 2% per month (24% per year) on the entire unpaid principal. Subtitle 3 covers consumer loans of $25,000 or less.
License
Consumer Loan license (or Installment Loan license) issued by the Maryland Office of the Commissioner of Financial Regulation (OCFR), under Financial Institutions Article Title 11, Subtitle 2.

Title loans

License
None; no lender, licensed or unlicensed, may make a loan secured by a vehicle title in Maryland.

Payday loans

Rate cap
No payday-specific product is authorized; the general 33% APR usury/consumer-loan-rate ceiling (Commercial Law Title 12, Subtitle 3) applies to all consumer loans and is low enough that traditional fee-based payday lending is not economically viable, effectively banning the product.
License
No separate payday-loan license exists; any short-term lender would need the standard OCFR Consumer Loan license and comply with the same 33% APR ceiling as installment lenders.

Money snapshot for Maryland

Maryland household and credit data
MeasureValueYear
Fair market rent, 2 bedroom (monthly)[6]$1,955FY2026
Population[7]6,263,2202024
Unemployment rate[8]4.1%2026-08

Guides for Maryland borrowers

Check your options in Maryland

Check your optionsYour request goes to a lending network partner, who shares it with lenders. Lenders set their own rates and decide whether to lend. There is no fee to use our service.

Maryland questions

Does Maryland law allow payday loans?

Maryland law does not allow payday loans. Source: Md. Code, Commercial Law Title 12, Subtitle 3.

What is the most a lender can charge in Maryland?

By loan type in Maryland: Installment and personal loans: 33% APR (top tier). Title loans: Not allowed. Payday loans: Not allowed.

Where can I file a complaint about a lender in Maryland?

You can file a complaint with Maryland Office of the Commissioner of Financial Regulation (OCFR), and you can also submit one to the Consumer Financial Protection Bureau. Both links are under Resources in Maryland on this page.

How do I check a lender's license in Maryland?

Maryland Office of the Commissioner of Financial Regulation (OCFR) licenses lenders in Maryland. Use the license link under Resources in Maryland on this page to check a lender before you share your information.

Is there free help paying bills in Maryland?

Yes. Resources in Maryland on this page lists free help, including 211, legal aid and nonprofit credit counseling.

Can I get a loan in Maryland with a 500 credit score?

Lenders look at more than your score, such as income and existing debts, and each sets its own rules. BadCreditMD cannot tell you whether a lender will approve you.

Nearby states

Sources

  1. labor.maryland.gov/finance/industry/installlend.shtml. Retrieved September 23, 2026.
  2. labor.maryland.gov. Maryland Office of the Commissioner of Financial Regulation (OCFR). Retrieved September 23, 2026.
  3. Justia. Maryland Consumer Credit Law, per a 2018 amendment banning title loans outright. Retrieved September 23, 2026.
  4. Justia. Md. Code, Commercial Law Title 12, Subtitle 3. Retrieved September 23, 2026.
  5. Justia. Md. Code, Commercial Law Title 12, Subtitle 3. Retrieved September 23, 2026.
  6. National Low Income Housing Coalition. Out of Reach 2026: Maryland. Retrieved September 23, 2026.
  7. U.S. Census Bureau, Population Division. Vintage 2024 National and State Population Estimates. Retrieved September 23, 2026.
  8. U.S. Bureau of Labor Statistics. Local Area Unemployment Statistics (LAUS), All States, Seasonally Adjusted. Retrieved September 23, 2026.

Important disclosures

Illustrative range for installment loans in Maryland: APRs from 5.99% to 33%, where the state APR cap is 33% at most and lower on larger loans. This range is not a quote; each lender sets its own rates. Your APR depends on your credit, income, state and the lender.

  • BadCreditMD is not a lender or broker and does not make loans or credit decisions. When you submit a request, a lending network partner shares it with third-party lenders, and those lenders or the partner may pay us a fee for each referral. The lenders decide whether to offer you a loan.
  • There is no fee to use BadCreditMD. Lenders or our lending network partner may pay us.
  • Lenders set their own rates, fees and terms. Offers depend on your credit, income, state of residence and each lender's criteria.
  • Our service is not available in all states, and not every loan type is available in every state.
  • By submitting a request you consent to lenders checking your credit, which may affect your score, and to your information being shared with them.
  • Submitting a request does not mean you will be approved or funded, or that you will receive any particular amount or rate.
  • Short-term loans are costly and are not a long-term financial solution. Borrow only what you can repay on time.
  • BadCreditMD publishes general information about loans and state rules. It is not legal or financial advice.
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  • Questions about a lender licensed in Maryland? Contact the Maryland Office of the Commissioner of Financial Regulation (OCFR) or file a state complaint.
  • You can submit a complaint about any lender to the Consumer Financial Protection Bureau at consumerfinance.gov/complaint.