Loan Rates and Fees in Virginia

Virginia eliminated the traditional single-payment payday loan product in 2020; no licensed lender in the state can offer that structure. For installment loan costs, see below.

Licensed short-term lenders in Virginia cap interest at 36% simple annual rate on the outstanding principal balance, plus a monthly maintenance fee - labeled "monthly fee" or "maintenance fee" on your agreement - of up to the lesser of 8% of the original loan amount or $25 per month; that maintenance fee cannot be added to the balance on which interest is charged.

No origination fee, application fee, or other upfront charge is allowed beyond the interest and monthly maintenance fee above - if your offer shows a separate origination line item, that is not permitted under Virginia law.

On a $1,000 loan at 36% annual interest repaid over 10 months, you'd pay roughly $165 in interest plus up to $250 in monthly maintenance fees ($25 × 10 months), for a total repayment of approximately $1,415. Federal rules require lenders to disclose an APR that folds in the monthly fees, which pushes the effective rate to roughly 100–110% APR on this 10-month example - higher than the 36% interest rate alone because the maintenance fees are included in the APR calculation.

• Refinancing restarts interest and fees on the new amount - compare your remaining balance to the new loan's total of payments before you agree.
• Returned payment fee (labeled "deposit item return fee" on your agreement): capped at $25 per failed attempt.
• Late fee: capped at $20; Virginia's short-term lending law prohibits any late charge above that amount.
• You can prepay in full at any time with no penalty - interest stops accruing on the remaining balance; see Installment loans in Virginia for repayment details.

If an offer exceeds these limits, verify with the Virginia Bureau of Financial Institutions.

• Total of payments: add up every scheduled payment on the agreement and confirm it matches the disclosed total.
• If you or your spouse are active-duty military, the federal Military Lending Act caps APR at 36% - a short-term loan above that rate cannot be made to you.