Best Loans in California, Payday, Auto Title Laws of April 2024

Last Update: November 2, 2022 Loans By State
Best Loans in All States

In the Golden State, non-bank lenders made $347.2 billion in loans in 2017. Nearly 50% ranged between $2,500 and $10,000 and carried an APR of 100% or more.

Focus on that $2,500 figure.

The California Finance Lenders Law allows companies to charge whatever interest rate they want on installment loans of at least $2,500. Because of this, many California borrowers receive very high APRs and end up falling into a vicious debt trap. And what about payday loans? They’re legal in California. But, because they’re not installment loans, state law allows a maximum APR of 460% and limits borrowing amounts to $300.

With such a wide range of lending regulations, finding a reliable loan in California with an affordable APR is more difficult than ever. But don’t worry! We researched, so you don’t have to! We’ll show you where to find the best loans in California – regardless of your credit score.

Now, if you have really bad credit, you’ll likely qualify for an APR of 20% or more. But, because personal loan providers in California cap their APRs at 35.99%, their options are reasonable. APRs can reach triple-digits if you’re forced to settle for an alternative payday loan, but most lenders cap their APRs at 200%.

Best Bad Credit Loans in California of April 2024

California state law requires lenders to cap installment loan interest rates at roughly 30% for all amounts below $2,500. For loans of $2,500 or more, lenders can charge any rate they prefer. For car title loans – which require you to put up your car as collateral – the law requires a minimum loan amount of $2,500. Any amount below $2,500 is prohibited. Interest rates are capped at 36%, as long as the loan doesn’t exceed $4,999.

Here are the best personal loans that we recommend for bad credit. Try them, and they will help you avoid a payday loan APR of 400%.


$100 - $15,000

Min. Credit Score:



5.99% - 35.99%


5 Minutes


1 - 72 Months

Licensed in California: