Loan Rates and Fees in Indiana
Page last reviewed: March 27, 2026 · Reviewed for accuracy by LendUp
Payday Loan Costs in Indiana
Indiana's small loan statute sets tiered fee caps - labeled "finance charge" on your agreement - based on how much you borrow: 15% on amounts up to $250, 13% on the $251–$400 portion, and 10% on the $401–$550 portion, with loan terms of at least 14 days. Your total outstanding payday balance across all lenders can't exceed $550 (excluding finance charges), tracked through a statewide database.
On a $300 loan due in 14 days, the maximum fee is $45 (15% × $250 = $37.50, plus 13% × $50 = $6.50, totaling $44), making your total repayment $344. Federal disclosure rules require your agreement to show the APR - on this 14-day loan that works out to roughly 382%.
- Rollovers are prohibited - the lender can't renew your loan for an additional fee.
- The returned payment fee - labeled "NSF fee" on your agreement - is capped at $25 per failed attempt, covering both bounced checks and failed automatic withdrawals.
- A database verification fee of up to $5 may appear as a separate line item.
If an offer exceeds these limits, verify with the Indiana Department of Financial Institutions (DFI).
Installment Loan Costs in Indiana
Licensed supervised lenders under Indiana's Uniform Consumer Credit Code use a declining-balance interest model. Rate caps depend on the unpaid balance:
| Unpaid Balance Portion | Maximum Annual Rate |
|---|---|
| First $2,000 | 36% |
| $2,001 – $4,000 | 21% |
| Above $4,000 | 15% |
On a $1,000 loan at 36% annual interest for 12 months with equal monthly payments, you'd repay approximately $1,197 total - roughly $197 in interest plus $1,000 in principal.
- Refinancing restarts interest on the new amount - compare your remaining balance to the new loan's total of payments before you agree.
- The same $25 returned payment fee cap applies - see payday loan costs above.
- Late fees (called "delinquency charges") are capped at $25 per missed payment on single-installment loans due at least 30 days out, and can only be charged after a 10-day grace period.
- You can pay off early with no penalty - interest stops accruing on the date you pay; see the Indiana installment loans page for repayment details.
If an offer exceeds these limits, verify with the Indiana DFI.
What to Check on Your Offer
- Finance charge: can't exceed 15% on amounts up to $250, 13% on the $251–$400 portion, and 10% on the $401–$550 portion.
- APR: on a 14-day loan, roughly 382% - that number reflects the short term, not a year of borrowing.
- Database verification fee: can't exceed $5.
- Interest rate: should stay within 36% on the first $2,000, 21% on $2,001–$4,000, and 15% above $4,000.
- Late fee: can't exceed $25 per missed payment (after a 10-day grace period).
- Prepayment penalty: should not appear - Indiana borrowers can pay early without penalty.
- Returned payment fee: can't exceed $25 for either product.
- Total of payments: the single most important number - add the principal, all interest, and every fee to confirm what you'll actually pay back over the full term.
- Military households: if you or your spouse are active-duty, the all-in cost can't exceed 36% MAPR under federal law - compare to the APR on your offer.
Official Sources
- Indiana Department of Financial Institutions (DFI) - consumer guidance and complaints
- DFI licensee search - verify your lender is licensed
- Indiana Consumer Credit Code (IC 24-4.5) - rate and fee statutes
Rules can change - confirm with the Indiana DFI if an offer doesn't match what's shown here.