What a loan can cost in Montana
Examples at an illustrative rate, never above Montana's cap for the amount. They are 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)
- 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.
Resources in Montana
Free and low-cost help in Montana, each with its official link and the date we checked it.
Lending regulator and complaints
Montana Division of Banking and Financial Institutions (DBFI) licenses lenders in Montana.
Check a lender's license File a complaint
doa.mt.gov Checked September 23, 2026
211
Help with rent, utilities, food and other urgent bills.
montana211.org Checked September 23, 2026
Legal aid
Free civil legal help if your income is low; income limits vary.
mtlsa.org Checked September 23, 2026
Nonprofit credit counseling
Help with a budget or a debt management plan.
nfcc.org Checked September 23, 2026
Benefits portal
Check whether you qualify for food, cash or other benefits in Montana.
dphhs.mt.gov Checked September 23, 2026
Federal complaints
Complaints 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 Montana 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.
- 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.
- 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.
The rules lenders follow in Montana
Each rule links to its source. How we research state rules.
Allowed in Montana: installment and personal loans and payday loans. Not allowed: title loans.
| Product | Status | APR cap | Amount | Term | License | Law |
|---|---|---|---|---|---|---|
| Installment and personal loans[1][2][3][4][5] | Allowed | 36% APR | Not set by statute | Not set by statute | Consumer Loan license | Mont. Code Ann. 32-5-101 et seq.; rate cap at 32-5-301; enacted via Initiative I-164 |
| Title loans[6][5][7][8] | Not allowed | Not allowed | Not set by statute | Not set by statute | None | Former Title Loan Act was at Mont. Code Ann. Title 31, ch. 1, part 8; I-164 capped title loans at 36% APR before the Act's later repeal... |
| Payday loans[9][10][1][7][11][5] | AllowedHigh-cost loan | 36% APR | Not set by statute | Not set by statute | Deferred Deposit Lender license | Mont. Code Ann. Title 31, ch. 1, part 7; fee cap at 31-1-722; enacted rate cap via Initiative I-164 |
| 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 Montana
Installment and personal loans
- Rate cap
- Consumer loans made by licensed consumer loan businesses are capped at 36% per year, all-in (the cap includes every fee), per Mont. Code Ann. 32-5-301, enacted by voter-approved Ballot Initiative I-164 (2010), effective January 1, 2011.
- Fees
- 36% APR cap includes all fees; no separate fee stacking above that ceiling is permitted.
- License
- Consumer Loan license under the Montana Consumer Loan Act, Mont. Code Ann. 32-5-101 et seq., issued by the Division of Banking and Financial Institutions (part of the Montana Department of Administration).
Title loans
- License
- None; the Montana Title Loan Act has been repealed and the Department of Administration confirms no current licensing category exists for title-secured consumer loans.
Payday loans
- Rate cap
- Deferred deposit (payday) lenders are capped at 36% APR, all-in, under the same I-164 framework codified in Montana's Deferred Deposit Loan statute (Mont. Code Ann. Title 31, ch. 1, part 7, also cross-referenced at 32-5-301). This rate is low enough that traditional fee-based payday lending is not economically viable.
- Fees
- 36% APR cap includes all fees, same as the general consumer loan cap.
- License
- Deferred Deposit Lender license would be required to operate, but per DBFI's own guidance no licensees currently exist in this category because the 36% cap makes the traditional payday product unprofitable.
Rent and jobs in Montana
Typical rent and the jobless rate, to weigh before a loan payment.
Guides for Montana borrowers
Check your options in Montana
Montana questions
Does Montana law allow payday loans?
Montana law allows payday loans. The cost limit is 36% APR. Source: Mont. Code Ann. Title 31, ch. 1, part 7; fee cap at 31-1-722; enacted rate cap via Initiative I-164.
What is the most a lender can charge in Montana?
By loan type in Montana: Installment and personal loans: 36% APR. Title loans: Not allowed. Payday loans: 36% APR.
Where can I file a complaint about a lender in Montana?
You can file a complaint with Montana Division of Banking and Financial Institutions (DBFI), and you can also submit one to the Consumer Financial Protection Bureau. Both links are under Resources in Montana on this page.
How do I check a lender's license in Montana?
Montana Division of Banking and Financial Institutions (DBFI) licenses lenders in Montana. Use the license link under Resources in Montana on this page to check a lender before you share your information.
Is there free help paying bills in Montana?
Yes. Resources in Montana on this page lists free help, including 211, legal aid, nonprofit credit counseling and benefits portal.
Nearby states
- WyomingAllowed 36% APR (top tier)
- IdahoAllowedNo rate limit in state law No rate limit
- North DakotaAllowed 36% APR
- South DakotaAllowed 36% APR
- WashingtonAllowed 25% APR
Sources
- doa.mt.gov/BFID/mortgage-consumer-finance/faq. Retrieved September 23, 2026.
- Justia. law.justia.com/codes/montana/title-32/chapter-5/part-1/section-32-5-101. Retrieved September 23, 2026.
- ballotpedia.org/Montana_Loan_Interest_Rate_Limit,_I-164_(2010). Retrieved September 23, 2026.
- leg.mt.gov. Mont. Code Ann. 32-5-101 et seq.. Retrieved September 23, 2026.
- doa.mt.gov. Montana Division of Banking and Financial Institutions (DBFI). Retrieved September 23, 2026.
- Justia. law.justia.com/codes/montana/2005/31/31-1-816.html. Retrieved September 23, 2026.
- doa.mt.gov/_docs/bfid/DDL/DDL-I-164-Memo.pdf. Retrieved September 23, 2026.
- leg.mt.gov. Former Title Loan Act was at Mont. Code Ann. Title 31, ch. 1, part 8. Retrieved September 23, 2026.
- responsiblelending.org/media/montana-voters-reject-payday-loan-abuses. Retrieved September 23, 2026.
- lmtribune.com/northwest/many-montana-payday-lenders-shutting-down-9d3ca41f. Retrieved September 23, 2026.
- leg.mt.gov. Mont. Code Ann. Title 31, ch. 1, part 7. Retrieved September 23, 2026.
- National Low Income Housing Coalition. Out of Reach 2026: Montana. 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 Montana. 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 Montana? Contact the Montana Division of Banking and Financial Institutions (DBFI) or file a state complaint.
- You can submit a complaint about any lender to the Consumer Financial Protection Bureau at consumerfinance.gov/complaint.