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Typically, borrowers looking to acquire a loan cannot visit an alternative state in order to access a payday loan. Lenders are only actually permitted to lend funds to people within the state they are licensed in. However, temporary residents may be capable of obtaining a loan if this type of loan is legal in their home state.

 

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When faced with emergency expenses due to unforeseen circumstances, payday loans may seem like the best option at the time. With this in mind, it is very important to remember that not every state across the US permits payday lending. Currently, it is therefore illegal to travel to an alternative state in order to gain access to a payday loan from a licensed company.

It is also illegal to travel to a new state with the sole purpose of accessing a loan even if payday lending is legal in both the state you have travelled from and the one you are intending to travel to. Lenders are only obligated to provide funds with regards to payday lending for borrowers in the state which they are licensed in. This is due to various payday loan regulations and laws which differ from state to state.

 

Regulations For Those Living In A New State Temporarily

 

If you are an individual living in a particular state temporarily, whether you will be permitted access to payday lending schemes is based on your individual circumstances. If you have permanent residency in an alternative state which legally permits payday lending, it may be possible for you to acquire a payday loan should you desire one.

In spite of this however, if the state you are currently living in does not legally permit payday lending schemes, it may not be possible to access funds from such lending companies. Equally, the regulations differ based on the conditions of the state you live in temporarily compared to the state in which you have permanent residence. It is therefore always important to check the regulations across both states before submitting an application to acquire a payday loan.

For example, if you were temporarily living in Tennessee and searching for a payday loan in your temporary state of Texas, it is likely that there would be options available to you to access emergency funding. If you do happen to be living in a state with a temporary residency, any lender would usually require extra documentation before providing access to any potential loans to ensure that they are in line with any regulations. Laws, regulations and restrictions can differ from state to state, so it is always important to consider the laws of the state you are currently living in alongside the one where you permanently reside.

 

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National Product Recommendations From Dollar Hand

 

While it may not be possible to obtain a payday loan within your home state, Dollar Hand can offer recommendations regarding alternative national products which are legal either in your permanent state or across the US as a whole. These can include bank loans or credit cards which are available in your home state and therefore are a better option when it comes to borrowing money, meaning you can do so legally.

Dollar Hand works as a connection service between borrowers and lenders, which enables them to provide potential customers with alternative products when they are not legally permitted to obtain payday loans. Borrowers do not always require specific products based on their state, and in this instance they should be able to access credit cards which are available universally.

 

What Are The Alternatives If I Can’t Get A Payday Loan In My State?

 

Just because it is not possible to access payday loans from alternative states, this does not mean you are out of options when it comes to requiring funding due to unforeseen circumstances. Dollar Hand offers a guide titled ‘What are some alternatives to a payday loan?‘. This guide can assist those individuals looking to access funds quickly and before they receive their monthly income but who are unable to access payday lending schemes. There should always be various options available to help people finance their lives in times of difficulty when unforeseen circumstances do occur.

Daniel Tannenbaum

Daniel is one of the co-founders at Dollar Hand and has worked in the consumer finance industry for over 15 years.

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