Installment Loans in North Dakota

Lending rules in North Dakota

General rules

• A person may not engage in the business of deferred presentment service without a license. Source: N.D.C.C. § 13-08-02 · verified Oct 9, 2026
• A separate license is required for each location from which deferred presentment service is conducted. Source: N.D.C.C. § 13-08-02 · verified Oct 9, 2026
• Applicants must maintain a net worth of at least $25,000 per licensed location. Source: N.D.C.C. § 13-08-03(1) · verified Oct 9, 2026
• Licensees must maintain a bond of at least $20,000 issued by a surety company authorized in the state. Source: N.D.C.C. § 13-08-03(4) · verified Oct 9, 2026

Payday loans (deferred presentment)

• A licensee may not disburse more than $500 to a customer in a deferred presentment service transaction. Source: N.D.C.C. § 13-08-12(3) · verified Oct 9, 2026
• A licensee may charge a fee for deferred presentment service not to exceed 20 percent of the amount paid to the customer. Source: N.D.C.C. § 13-08-12(2) · verified Oct 9, 2026
• A customer may not have aggregate outstanding obligations exceeding $600 from any lender for deferred presentment transactions. Source: N.D.C.C. § 13-08-12(4) · verified Oct 9, 2026
• A deferred presentment service transaction may be renewed at most once (one renewal only). Source: N.D.C.C. § 13-08-12(12) · verified Oct 9, 2026
• A licensee's renewal fee may not exceed 20 percent of the amount being renewed. Source: N.D.C.C. § 13-08-12(12) · verified Oct 9, 2026
• The total period of deferral, including the initial deferral and one renewal, may not exceed 60 days. Source: N.D.C.C. § 13-08-12(12) · verified Oct 9, 2026
• An individual renewal period may not be less than 15 days. Source: N.D.C.C. § 13-08-12(12) · verified Oct 9, 2026
• A licensee may not enter a new deferred presentment service transaction within 3 business days after a customer's completion of a previous transaction. Source: N.D.C.C. § 13-08-12(4) · verified Oct 9, 2026
• The statute permits customers to pay in cash, money order, electronic payment, or cashier's check at any time. Source: N.D.C.C. § 13-08-12(12) · verified Oct 9, 2026
• A licensee may not receive or hold any property, titles to property, or mortgages as a condition of a transaction or for collection purposes without proper civil process. Source: N.D.C.C. § 13-08-12(1)(f), (2) · verified Oct 9, 2026
• A licensee may enter a workout agreement with a borrower in financial hardship, with repayment in weekly, biweekly, or monthly installments not to exceed 12 months, with no additional interest or fees. Source: N.D.C.C. § 13-08-12(13) · verified Oct 9, 2026

Statewide loan database

• After the database is in operation, licensees must verify customer outstanding obligations using the database administered or authorized by the commissioner, not customer representations. Source: N.D.C.C. § 13-08-12(2), (4) · verified Oct 9, 2026

Lenders in North Dakota are licensed by the North Dakota Department of Financial Institutions. See also online lenders and apps in North Dakota.