How Payday Loans Work in California: 12 Things to Know Before You Borrow
Thinking about a payday loan? Here is how one works from start to finish: how much you can borrow, what it costs, when you get the money and how you pay it back.
A payday loan sounds simple: you borrow a little now and pay it back on payday. The details are what matter, like how the fee is figured, when the money arrives and what to do if your paycheck comes up short. These 12 things walk you through a payday loan from start to finish, in plain terms, so you know exactly what to expect before you borrow.
Quick answer
A payday loan is a small, short term loan you repay in one payment on your next payday, usually 14 to 31 days after you borrow. At Cash in Flash you can borrow $100 to $255 online and pay one flat fee of 15% of the check amount, $45 on a $300 check, shown before you sign. If you are approved, money can arrive as soon as today.
- Borrow $100 to $255. On the largest loan you receive $255 and repay $300.
- Apply online in about 5 minutes. Applying will not affect your FICO® Score.
- Instant funding to a debit card may arrive within 30 minutes to 4 hours of approval and verification.
- If payday will come up short, call your lender before the due date, not after.
The 12 things at a glance
Your loan and the fee
The basics
1What a payday loan is
A payday loan is a small, short term loan that helps you cover an unexpected expense between paychecks, like a car repair, a medical bill or an overdue utility bill. You get the money now, and you repay it plus one flat fee in a single payment on your next payday. It is meant for short term needs only, not as a long term way to pay your bills.
2How much you can borrow
At Cash in Flash you can borrow $100 to $255. The amount you qualify for depends on your income and is set during your application, and not everyone qualifies for the full $255. You do not have to take the most you are offered, and a smaller loan has a smaller fee. Our tips to borrow responsibly show how to work out the right amount from your next paycheck.
3How to check a lender is licensed
Before you share any personal details, make sure the lender is licensed by the California Department of Financial Protection and Innovation, the DFPI, and look up the license on the DFPI website. Cash in Flash is licensed by the California DFPI, License #10DBO-84940, and you can see our details on our licenses page. We are also a direct lender, not a broker or a lead site, so your application stays with us from start to finish.
Applying
4What you need to apply
You must be at least 18 and live in California. Have a valid government ID, such as a driver’s license, state ID or passport, proof of steady income like a recent pay stub or bank statement, an active checking account, your Social Security number and a working phone number. Gathering these before you start is the easiest way to keep the application quick.
5How applying works
You apply online from your phone or computer in about 5 minutes, and you usually get a decision within minutes. Before your loan is funded, we may need to verify your details, and you may be asked to connect your bank account securely. Complete, accurate answers are verified faster, and missing details are what slow funding down. If we need extra time to verify your information, funding can take up to two days.
6How your credit is checked
You can apply with bad credit. We look at more than your credit score, including your income and your ability to repay, and we review every application the same way, so not everyone is approved. We may use information from a consumer reporting agency, and the inquiry may show on your profile with that agency, but it will not impact your FICO® Score. Read more about payday loans for bad credit.
Your loan and the fee
7How the fee works
You pay one flat fee of 15% of the check amount, which is the total you repay. On a $300 check you receive $255, the fee is $45, and you repay $300, while a $100 loan has a fee of about $17.65, so you repay about $117.65. Everyone pays the same rate, whatever their credit score, and your exact fee, total and due date are shown before you sign. As a yearly rate, $255 for 14 days with a $45 fee is about 460% APR, which is why this loan is for short term needs only.
8How you get the money
Once you are approved, you choose one of two ways to get your money. With instant funding, you add your debit card from a secure link we email you, and your money may be available within 30 minutes of approval and verification, or up to 4 hours. We charge no instant funding fee, though your card issuer may have its own fees or limits. With direct deposit, if you are approved by 6 p.m. PT Monday to Friday, you will generally get the money in your checking account the next business day.
9When and how you repay
Your loan is due in one payment of the full amount on your next payday, 14 to 31 days after you borrow. You can set up automatic repayment from your bank account, and we go over your options with you before you finalize your loan. Make sure the full amount is in your account on the due date, because a returned payment can mean a returned payment fee of up to $15.
When money is tight
10Short on payday? Call before the due date
Hours get cut and bills come in bigger than expected. If you can see your next paycheck will not cover the payment, do not wait until the due date passes. Call us before your due date at (888) 999-9859 and we will go over your options with you. Have your loan details and the date of your next paycheck handy when you call.
11You can have one loan at a time
You can have one payday loan with us at a time, so a new loan is not possible while one is still open. Once your loan is paid in full, you can apply again if a new need comes up. Each loan has its own fee, so a payday loan works best as a one time fix for a one time expense.
12Alternatives to consider first
A payday loan may not be the right fit if you need more than $255, need longer than one pay period to repay, or are behind on several bills, where free counseling may help more. Before you borrow, ask the company you owe for more time, ask your bank or credit union about a small loan, or call 211 for local help. Our guide to 15 payday loan alternatives and our list of ways to get cash today cover many more options.
What to avoid with a payday loan
- Signing before you have checked the fee, the total you repay and the due date.
- Leaving out details or making mistakes on your application. Missing details slow down verification and your money.
- Leaving your account short on the due date. A returned payment can cost a fee of up to $15.
- Waiting until after the due date to call if your paycheck will not cover the payment.
- Using a payday loan for bills that come back every month. It is meant for short term needs only.
Frequently asked questions
How do payday loans work?▾
You borrow a small amount and repay it, plus one flat fee, in one payment on your next payday. At Cash in Flash you apply online in about 5 minutes and see the fee, the total and the due date before you sign. If you are approved, money can arrive as soon as today.
How much can I borrow with a payday loan in California?▾
At Cash in Flash you can borrow $100 to $255. The amount you qualify for is set during your application, based on your income. The fee is 15% of the check amount, so you receive $255 and repay $300.
How fast can I get the money from a payday loan?▾
If you are approved and choose instant funding to your debit card, your money may be available within 30 minutes of approval and verification, or up to 4 hours. With direct deposit, if you are approved by 6 p.m. PT Monday to Friday, you will generally get it the next business day. If we need extra time to verify your details, funding can take up to two days.
Does a payday loan affect my credit?▾
Applying with Cash in Flash will not affect your FICO® Score. We may use information from a consumer reporting agency, and the inquiry may show on your profile with that agency, but it will not impact your FICO Score.
What happens if I cannot pay my payday loan on time?▾
Call us before your due date at (888) 999-9859 and we will go over your options with you. Do not wait until the due date passes. The sooner you call, the more time you have to plan.
A little short until payday?
Apply online in about 5 minutes and see your fee, your total and your due date before you sign. If you are approved, money can arrive as soon as today.