Minnesota at a glance
- Personal loansAllowed 33% APR (top tier)
- Installment loansAllowed 33% APR (top tier)
- Emergency loansAllowed 33% APR (top tier)
- Payday loansAllowed 50% APR
- Title loansAllowed 36% APR
Loan options in Minnesota
Every loan type we cover is listed, including the ones Minnesota law does not allow, so you can see why and what else can work.
- Personal loansAllowedA lump sum you repay in fixed monthly payments. See what your state allows and what a loan can cost.
- Installment loansAllowedFixed payments over months, not weeks. See your state's rate limits and a worked cost example.
- Emergency loansAllowedMoney for an urgent bill, usually a smaller installment loan. Check your state's limits before you borrow.
- Payday loansAllowedA short loan usually due in one payment on your next payday. Allowed in fewer states, so read the fee limits first.
- Title loansAllowedA loan secured by your car title. Allowed in fewer states, and your car is at risk if you cannot repay.
Other ways to borrow
- Credit union payday alternative loans: small loans from federal credit unions with an APR capped at 28% under NCUA rules. (12 CFR 701.21)
- Credit-builder loans: a small loan held in savings while you pay it off, which can help build a payment history.
- Secured credit cards: a card backed by a deposit you make, which can help build credit when you pay on time.
- Payment plans: many utilities, hospitals and lenders offer hardship plans if you ask before you miss a payment.
What a loan can cost in Minnesota
Worked examples at an illustrative rate, never above Minnesota'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)
- 25.65%
- Repayment
- 12 monthly payments
- Payment
- $286.08
- Finance charge
- $432.96
- Total of payments
- $3,432.96
Example: a $3,000 installment loan at 25.65% APR repaid in 12 monthly payments of $286.08 costs $3,432.96 in total, including a finance charge of $432.96. Illustration only; your lender will disclose your actual APR, payment schedule and total cost before you accept a loan.
Resources in Minnesota
Free and low-cost places to turn in Minnesota, each linked to its official source and dated when we last checked it.
Lending regulator and complaints
Minnesota Department of Commerce licenses lenders in Minnesota. Check a lender's license here, and file a complaint if something goes wrong.
Check a lender's license File a complaint
mn.gov Checked September 23, 2026
Attorney general consumer protection
The attorney general's consumer protection office takes complaints about scams, unfair debt collection and other business practices.
ag.state.mn.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.
211unitedway.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.
mnlegalservices.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.
Submit a complaint to the CFPB
consumerfinance.gov Checked September 23, 2026 Available in Spanish
More Minnesota 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 Minnesota.
The rules lenders follow in Minnesota
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 Minnesota: installment and personal loans, title loans and payday loans.
| Product | Status | APR cap | Amount | Term | License | Law |
|---|---|---|---|---|---|---|
| Installment and personal loans[1][2][3] | Allowed | 33% APR (top tier) | Not set by statute | Not set by statute | Regulated Loan license under Minn. Stat. Ch. 56 for general installment lenders,... | Minn. Stat. Ch. 56, rates at 56.131 incorporating 47.59 subd. 3; Minn. Stat. 47.601; 47.603 |
| Title loans[4][5] | Allowed | 36% APR | Not set by statute | Not set by statute | None listed | likely governed by Minn. Stat. Ch. 56 or Ch. 47 in combination with vehicle-title provisions in Ch. 168A, but no specific title-loan... |
| Payday loans[6][7][1][8][3] | Allowed | 50% APR | Up to $350 | Up to 30 days | Consumer small loan lender filing/registration with the Minnesota Commissioner of... | Minn. Stat. 47.60, as amended 2023 and again reaching loan arrangers effective Aug. 1, 2026 |
| 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 Minnesota
Installment and personal loans
- Rate cap
- Regulated lenders (Minn. Stat. Ch. 56) charge rates under 47.59 via 56.131: the greater of 21.75% APR or 33% per year on the unpaid principal up to $1,425 plus 19% on the part above $1,425 (dollar tiers CPI-adjusted). Section 47.60 applies only to single-installment consumer small loans of $350 or less; section 47.601 caps consumer short-term loans ($1,300 or less with a payment over 25% of principal due within 60 days) at 50% all-in APR, with ability-to-repay rules above 36% (47.603).
- Fees
- Additional charges limited to those listed in 56.131 subd. 2 and 47.59 subd. 6 (official fees, permitted insurance, delinquency charge, one-time loan administrative fee). For consumer short-term loans under 47.601, all-in APR up to 50% and no other charges; above 36% requires ability-to-repay analysis under 47.603.
- License
- Regulated Loan license under Minn. Stat. Ch. 56 for general installment lenders, and/or registration as a 'consumer small loan lender' or 'consumer short-term lender' under Minn. Stat. 47.60, both administered by the Minnesota Department of Commerce; a 2026 amendment extended coverage of 47.60 to any entity that merely arranges such a loan, which is directly relevant to lead generators.
Payday loans
- Rate cap
- Consumer small loans (single-installment, cash advance of $350 or less) may carry an all-in APR of up to 50% (47.60 subd. 2(a)); a loan above 36% APR must comply with the ability-to-repay rules of 47.603. Term no more than 30 days; loan may not be repaid with proceeds of another loan from the same lender; aggregate principal outstanding capped at $350.
- Fees
- All-in APR (all interest, finance charges, and fees) up to 50%; no other charges except a statutory return-check charge; after maturity, up to 2.75% per month on remaining proceeds.
- License
- Consumer small loan lender filing/registration with the Minnesota Commissioner of Commerce under 47.60 subd. 3 (also covers internet lenders without a Minnesota location); consumer short-term lenders (including arrangers and lead generators) under 47.601.
Money snapshot for Minnesota
Guides for Minnesota borrowers
Check your options in Minnesota
Minnesota questions
Does Minnesota law allow payday loans?
Minnesota law allows payday loans. The cost limit is 50% APR. Source: Minn. Stat. 47.60, as amended 2023 and again reaching loan arrangers effective Aug. 1, 2026.
What is the most a lender can charge in Minnesota?
By loan type in Minnesota: Installment and personal loans: 33% APR (top tier). Title loans: 36% APR. Payday loans: 50% APR.
Where can I file a complaint about a lender in Minnesota?
You can file a complaint with Minnesota Department of Commerce, and you can also submit one to the Consumer Financial Protection Bureau. Both links are under Resources in Minnesota on this page.
How do I check a lender's license in Minnesota?
Minnesota Department of Commerce licenses lenders in Minnesota. Use the license link under Resources in Minnesota on this page to check a lender before you share your information.
Is there free help paying bills in Minnesota?
Yes. Resources in Minnesota on this page lists free help, including 211, legal aid and nonprofit credit counseling.
Can I get a loan in Minnesota 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
- WisconsinAllowed No numeric cap
- IowaAllowed 36% APR (top tier)
- North DakotaAllowed 36% APR
- South DakotaAllowed 36% APR
- MichiganAllowed No numeric cap
Sources
- revisor.mn.gov. Minn. Stat. Ch. 56, rates at 56.131 incorporating 47.59 subd. 3. Retrieved September 23, 2026.
- madgettlaw.com/news/minnesota-consumer-small-loans-47-60. Retrieved September 23, 2026.
- mn.gov. Minnesota Department of Commerce. Retrieved September 23, 2026.
- mn.gov. Minnesota Department of Commerce. Retrieved September 23, 2026.
- responsiblelending.org/media/new-research-brief-provides-fresh-evidence-car-title-lenders-operating-illegally-22-states. Retrieved September 23, 2026.
- responsiblelending.org/media/minnesota-governor-signs-popular-interest-rate-cap-payday-loans. Retrieved September 23, 2026.
- americanbanker.com/news/minnesota-caps-rates-on-payday-loans-with-a-wrinkle. Retrieved September 23, 2026.
- senatedfl.mn/new-law-to-protect-minnesotans-from-predatory-payday-lending-practices-goes-into-effect. Retrieved September 23, 2026.
- National Low Income Housing Coalition. Out of Reach 2026: Minnesota. Retrieved September 23, 2026.
- U.S. Census Bureau, Population Division. Vintage 2024 National and State Population Estimates. 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
Illustrative range for installment loans in Minnesota: 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.
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- 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 Minnesota? Contact the Minnesota Department of Commerce or file a state complaint.
- You can submit a complaint about any lender to the Consumer Financial Protection Bureau at consumerfinance.gov/complaint.