New Mexico Payday Loan Laws and Regulations

Find out if quick short-term Payday Loans are legal in New Mexico. Learn what amounts, interest rates and repayment terms are set by the state's Legislation.

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New Mexico Payday Loans Rates and Terms

Legal Status

Legal Status

The status of a loan type according to the Federal laws and regulations. What concerns Payday Loans some states consider them legal, some – illegal and some restrict them in terms of amounts and interest rates.

Available (with some restrictions)
Maximum Loan Amount

Maximum Loan Amount

It’s the maximum sum of cash advance allowed to apply for in the state. It usually ranges from $500 to $1000. But it may vary depending on the lender and his requirements.

Maximum Loan Term

Maximum Loan Term

It’s the maximum period of time within which you are to allowed to pay off your loan.

35 day(s)
Maximum APR

Maximum APR

The maximum percentage allowed that actually represents annual cost of your loan. The APR is based on several things, including the amount you borrow, the interest rate and costs you’re being charged, and the length of your loan.

Finance Charges

Finance Charges

All the payments you’re going to be charged for the loan including APR and other fees.

$15.50 per $100 and a $0.50 verification fee per $100

To be on the safe side, before applying for a Payday Loan in New Mexico, study the state's laws, rules and regulations concerning short-term cash advance both online and in-store. Find legit lenders, compare their rates and terms to get the best deal.

Compare top legit Payday Lenders in New Mexico:

Table of Contents:

Are Payday Loans legal in New Mexico?

New Mexico Payday Loan Terms and Amounts

New Mexico Payday Loans online laws

New Mexico Payday Loans interest rates, fees and other finance charges

New Mexico Payday Loans direct lenders regulations

New Mexico Payday Loans consumer information

Legitimate Payday Loans online with NO credit check in New Mexico

Does New Mexico law allow Payday Loans for bad credit borrowers?

Legit Payday Loans in New Mexico collection practices

New Mexico Payday Loans news  - latest changes

New Mexico Payday Loans historical background

New Mexico Payday Loan alternatives

Are Payday Loans legal in New Mexico?

Short-term Payday Loans are in the state of New Mexico and are mostly regulated through .

New Mexico Small Loan Act.pdf

The Payday Lending legislation covers all the parts of the process concerning:

  • Payday Loan amounts
  • Payday Loan repayment terms
  • Payday Loan online direct lenders
  • Payday Loan stores near you
  • Payday Loan interest rates and other fees
  • Payday Loan collecting practices
  • Payday Loan default penalties
  • The number of outstanding Payday Loans as well as a cooling-off period in-between etc.

Read more: Payday Loans in New Mexico

The main Payday Loan requirements in New Mexico are:

According to the New Mexico Payday Loan Database provided by Veritec Solutions, LLC. §58-15-37 NMSA 1978:

  • There are currently 112 active locations that are registered on the state database.
  • There were 58,117 total payday loans conducted by 10,149 consumers 
  • Average Payday advance amount is $353.02 
  • Effective average APR is 281.34% with an average term of 26.43 days
  • The average advance fees paid by the consumer is $306.06.

For more details read further to find out how many Payday Loans you can borrow, whether rollovers or extensions are allowed, etc.

New Mexico Payday Loan Terms and Amounts

New Mexico residents who are eligible for a Payday Loan can get $2500 cash advance per contract. The repayment term is capped at up to 35 days.

However, there are no limits on the purpose of loan usage. Any urgent expenses, unforeseen bills, car repair, home repair, etc. may seem a sound reason to apply for a Payday Loan in New Mexico.

If $2500 is not enough, there are always other options to receive the necessary funds in New Mexico: unsecured Installment Loans, bad credit Personal Loans, Title Loans, Check Cashing, Pawn Shops, etc.

New Mexico Payday Loans online laws 

One can apply for a Payday Loan from both storefront and online lenders. Rules and regulations concern both as well. 

Reputable online lenders operating in accordance with all relevant state and federal laws can be applied to and compared on our platform using a simple online application form.

You state the necessary amount, fill in your personal information and get suitable offers from legit direct lenders. It takes only a few minutes and doesn't affect your credit score. 

New Mexico Payday Loans interest rates, fees and other finance charges 

The main part of payday loan payment is mostly made up of the interest rate, or APR. The average APR that may be charged for short-term cash advance in New Mexico is 416.00%. It means that if you borrow $100 Payday Loan for 14 days the finance charges will be $15.50 per $100 and a $0.50 verification fee per $100.

Besides, the total cost of a Payday Loan includes some additional fees. New Mexico lending rules allow to charge $15 NSF fee.

The law obligates New Mexico Payday Loan lenders to provide you with a written disclosure of all the rates and fees in the understandable language. You should read them carefully and if you agree acknowledge the notification by signing the contract.

New Mexico Payday Loans direct lenders regulations 

According to New Mexico payday loan laws all direct lenders are obliged to register their companies which will allow issuing payday loans contract. It concerns both Online Payday Loans and Payday Loans Near Me.

A person shall not engage in the business of lending in amounts of five thousand dollars ($5,000) or less for a loan without first having obtained a license from the director. Nothing contained in this subsection shall restrict or prohibit a licensee under the New Mexico Small Loan Act of 1955 from making loans in any amount under the New Mexico Bank Installment Loan Act of 1959 in accordance with the provisions of Section 58-7-2 NMSA 1978.

New Mexico Payday Loans consumer information

Besides amounts, rates and fees, consumers must be also well aware of other details of Payday Loans in New Mexico. They include the availability and number of rollovers, extensions and repayment plan, a cooling-off period, any default penalties or additional fees, etc. Check out the table below to find the most essential information:

Rollovers or extensionsrepayment plan of over a 130-day period with no additional fees
Cooling-off period10 days
NSF fee$15 NSF fee
Criminal actionsProhibited

Look for more detailed information on the official New Mexico state regulator website - New Mexico Financial Institutions Division, 2550 Cerrillos Road, 3rd Floor Santa Fe NM 87505, (505)476-4885,

Legitimate Payday Loans Online with NO credit check in New Mexico 

Looking for a legal Payday Loan with No credit check in New Mexico? You must understand the meaning of this phrase correctly at first. No credit check implies that a lender will not inquire about your credit history information from or send your borrowing data to any of the three major credit bureaus Equifax, Experian, and TransUnion.

If you don’t want to damage your credit history, New Mexico law allows you to apply for a Payday Loan with No credit check. But you should understand that a lender needs to check your creditworthiness at least in some way. He can perform a soft credit check when a lender pre-approves you for a loan and this inquiry will not appear on your credit report. Or there’re other ways to prove you can afford the cash advance. Payday Loan lenders use the tracking system to verify your debts, check your income, etc. And generally, they charge higher interest to lessen the risks.

No credit checks are conducted to see if the borrower can afford the loan. As a result, the loans attract low-income and financially vulnerable customers who cannot qualify for or have exhausted other forms of credit. - Issue Brief, New Mexico Data Shows Chronic Borrowing With Payday Loans, November 30, 2005

New Mexico Payday loans online no credit check are one of the easiest options of getting quick cash to cope with emergency financial requirements, especially for the people with poor credit.

Does New Mexico law allow Payday Loans for bad credit borrowers?

The average credit score in New Mexico is 659, placing it in the good range. But it doesn't mean that those who have a worse credit can't apply for a Payday Loan in the state. 

  • First of all, there're a lot of legit direct lenders in New Mexico providing Payday cash advance to borrowers with both good and bad credit score.
  • Secondly, you can always find a cosigner to increase your chances of being approved for a bad credit Payday Loan.
  • Find out how to improve your credit score and do your best to do it fast. 
  • Or consider taking out a bad credit Installment Loan, or bad credit Personal Loan.

Legit Payday Loans in New Mexico collection practices

If you can’t repay the loan amount plus interest on a due date it means you default the loan. When New Mexico direct lender isn’t able to cash your check after the repayment term is over he may charge you an NSF fee. NSF fee means there are non-sufficient funds on your account. The amount charged is determined by the lender and stated in the agreement and may also be limited by the state’s Payday Loan law. In New Mexico NSF fee is

Any criminal actions as well as other rude collecting practices are prohibited in New Mexico.

If you think that your payday lender violates the New Mexico Payday Loans law, you may file a written complaint with The supervisor from that office interviews witnesses, reviews the payday lender’s business records and documentation, and determine whether to pursue civil or criminal charges.

New Mexico Payday Loans news  - latest changes

Unfortunately, although these rules and regulations are in place protect consumers in New Mexico, many high-interest lenders have changed the terms and structure of their loans so that the loans no longer fall under the definition of “payday loans” in New Mexico. As a result, lenders can continue to charge interest rates well over 40%.

New Mexico Payday Loans historical background

The history of Payday Loans in New Mexico
1939Small loan legislation was enacted and it presupposed a 12% APR cap on unsecured loans.
1978The caps were repealed which allowed payday lenders flourish at that period.
2006The Military Lending Act effectively capped payday loans offered to the military at 36% APR.
2007The Payday Loan Reform set the loan amount up to 35 days, and created the database.$2500 and terms up to
June 2, 2016A Payday Loan Rule was proposed.

New Mexico Payday Loan alternatives

If you're looking for instant cash advance in New Mexico but not a Payday Loan, consider other alternative ways to get the necessary funds:

  • Apply for a New Mexico Installment Loan - $1000 - $5000 cash advance repaid over several months or years in equal installments.
  • Take out a Car Title Loan if you own a vehicle to use as collateral.
  • Sell some of your valuable stuff online or at a pawn-shop.
  • Consider borrowing from a bank or credit union - New Mexico's Credit Union, New Mexico Central Credit Union, etc. 
  • Qualify for one of non-profitable New Mexico state assistance programs: Temporary Assistance for Needy Families (TANF), Supplemental Security Income (SSI), Low Income Home Energy Assistance Program (LIHEAP), Supplemental Nutrition Assistance Program (SNAP), New Mexico Energy $mart Program, etc.
  • Compare your possibilities and look for the credit offer with the lowest APR and the finance charge - consider a small loan from your credit union or small loan company, an advance on pay from your employer, or a loan from family or friends. 
  • A cash advance on a credit card also may be a possibility, but it may have a higher interest rate than your other sources of funds: find out the terms before you decide. 
  • Ask your creditors for more time to pay your bills. Find out what they will charge for that service - as a late charge, an additional finance charge or a higher interest rate, before you take out a payday loan to pay these bills.
  • Make a realistic budget, and figure your monthly and daily expenditures. Avoid unnecessary purchases - even small daily items. Their costs add up. Also, build some savings - even small deposits can help - to give you a buffer against financial emergencies. 
  • Find out if you have, or can get, overdraft protection on your checking account. Overdraft protection can help protect you from further credit problems by helping you avoid costly fees. Find out the terms of overdraft protection. 
  • If you need help working out a debt repayment plan with creditors or developing a budget, contact your local consumer credit counseling service. 
  • If you decide you must use a payday loan, borrow only as much as you can afford to pay with your next paycheck and still have enough to make it to the next payday.