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12 CFR Part 1041 - Payday, Vehicle Title, and Certain High-Cost Installment Loans (Payday Lending Rule)

Most recently amended Oct. 20, 2020

12 CFR Part 1041 regulates payday loans and other short-term loans, and certain vehicle title and high-cost installment loans.

Entities, products and services include:

  • Financial services providers
  • Small-dollar loans
  • Payment transfers
  • Payday loans
  • Vehicle title loans
  • Short-term loans
  • Longer-term balloon-payment loans
  • High-cost longer-term loans

This regulation covers topics such as:

  • Unfair and abusive practices
  • Mandatory underwriting provisions (ability to repay)
  • Prohibitions on certain payment transfer attempts
  • Disclosures of payment transfer attempts
  • Information furnishing
  • Registered information systems
  • Recordkeeping

Additional resources

Consumer FAQs

Payday loan basics and issues

Other resources

Payday lending rule compliance resources