Boulder Borrowing Guide
Colorado payday-loan rules
Content reviewed November 6, 2026
Colorado regulates payday loans under its deferred deposit loan law. These rules apply to that product category, including loans offered to Boulder residents.
A cash advance, personal loan, line of credit or installment product may be governed by different rules. The limits below are not a universal description of every form of credit.
The core deferred deposit limits
- Maximum principal: $500. Colorado's deferred deposit law limits the principal amount of a loan.
- Minimum term: six months. A Colorado deferred deposit loan must have a term of at least six months.
- Maximum APR: 36%. The law limits the finance charge to an annual percentage rate of 36%, including the charges covered by the statute.
These are statutory limits, not a loan offer or a statement that a particular lender will approve you. Check the agreement's disclosures and the lender's license.
Check the legal business name
Use the Colorado Attorney General's public licensing reports to look up the lender. Compare the legal name and relevant license details with the website and loan agreement. A brand name alone is not enough to identify the contracting business.
Prepayment and rescission
The deferred deposit statute allows a borrower to prepay without a penalty. It also provides a right to rescind the transaction by 5 p.m. on the business day following the loan transaction, subject to the statutory requirements.
Read the agreement and current statute for how to exercise these rights. Keep copies of communications, the agreement and payment records.
Review the cost before signing
Ask for the APR, finance charge, amount financed, total of payments, repayment dates and potential late or returned-payment charges in writing. Consider whether the payments fit your budget without causing you to miss essentials or borrow again.
Our repayment calculator is an illustration with equal monthly payments and no separate fees. It does not validate the terms of a real agreement.
Questions or a complaint
The Colorado Consumer Credit Unit publishes consumer information. You can also submit a credit and debt complaint to the Colorado Attorney General.
If the immediate expense involves housing or budget pressures, explore our Boulder County resource links before choosing more credit.
Official sources
- Colorado Revised Statutes, Title 5, Article 3.1. Statutory source for deferred deposit loan limits and borrower rights.
- Colorado Attorney General complaint, filed August 27, 2026. A recent primary enforcement document describes the state's deferred deposit lending requirements. Allegations in a complaint are not a court judgment.
- Colorado Attorney General consumer credit information.
This summary is general educational information. Laws and interpretations may change; review current official materials for your situation.