Payday Loans in Wisconsin: Laws, Costs, and Your Options (2026)

Payday loans in Wisconsin are legal under Wis. Stat. § 138.14, from lenders licensed by the Department of Financial Institutions. Your total payday debt is capped at $1,500 or 35% of your gross monthly income, whichever is less, a loan can run no longer than 90 days, and you can refinance only once. The rate before the due date is not capped, but after it interest is limited to 2.75% a month, and if you cannot repay, the lender must offer a four-installment plan. This page covers what the law allows, what a loan costs, your rights, and which of the lenders we review serve Wisconsin. For how Wisconsin compares with every other state, see payday loan laws by state.

Wisconsin payday loan rules at a glance

Rule	Wisconsin
Legal status	Permitted, through a DFI licensee, online or in person (§ 138.14(2))
Regulator	Department of Financial Institutions, 608-261-7578
Maximum debt	$1,500 or 35% of gross monthly income, whichever is less (§ 138.14(12)(b))
Maximum term	90 days (§ 138.14(1))
Rate before due date	Not capped by state law (§ 138.14(10)(a)1.)
Rate after due date	No more than 2.75% a month (§ 138.14(10)(a)2.)
Rollovers	One refinance; the second loan cannot be repaid with a third (§ 138.14(12)(a))
Extended payment plan	Four equal installments on your paydays, offered once per 12 months (§ 138.14(11g))
Returned payment	One presentment, one charge of up to $15 (§ 138.14(10)(b)2.)
Right to cancel	By the close of business the next business day (§ 138.14(11r))
Database	Statewide real-time database checked before every loan (§ 138.14(14))
Criminal liability	No threat or pursuit of criminal action (§ 138.14(12)(f))
Unlicensed lender	The loan is void and you can recover what you paid (§ 138.14(15)(b))
Military borrowers	36% federal MAPR cap under the Military Lending Act

How a Wisconsin payday loan works

You give the lender a check or authorize an electronic payment, and it pays you the loan amount. The loan can run no longer than 90 days (§ 138.14(1)). Before lending, the lender checks a statewide real-time database to confirm the new loan will not push your total payday debt, across every lender, past $1,500 or 35% of your gross monthly income. The database cannot cost you anything (§ 138.14(10)(b)1., (14)).

Before the loan is made, the lender must tell you the total dollar amount of all fees and charges and the APR if you pay in full at the end of the term, give you DFI’s written informational materials, and explain your right to cancel, the charge after the due date, and the extended payment plan (§ 138.14(9g)). When you sign, you receive a statement in both English and Spanish with the federal Truth in Lending disclosures, your right to prepay with a refund of unearned interest, and the yearly interest rate stated clearly (§ 138.14(13)(b)).

What a payday loan costs in Wisconsin

Wisconsin caps how much you can owe, not what the loan costs before its due date. For illustration, here is what a $15-per-$100 charge over two weeks, a common payday price, would cost:

Loan amount	Fee at $15 per $100	You repay	APR over 14 days
$300	$45	$345	About 391%
$500	$75	$575	About 391%
$1,000	$150	$1,150	About 391%

These are our own figures, not a quote or a legal limit; a Wisconsin lender can charge more or less. Your disclosure states the actual cost.

After the due date, the rate drops to no more than 2.75% a month, about 33% a year, figured daily with no interest on interest: about $13.75 a month on a $500 balance (§ 138.14(10)(a)2.). The lender cannot charge a prepayment, late, or default penalty (§ 138.14(10)(am)). It can present your check or run your electronic payment only once, and the only charge if it bounces is a service fee of up to $15 (§ 138.14(10)(b)2.). You can prepay all or part of the loan at any time and get back the unearned interest (§ 138.14(11)).

Rollovers and the extended payment plan

You can repay a payday loan with the proceeds of a second payday loan from the same lender, another lender, or an affiliate, but you cannot repay that second loan with a third. Paying off one loan and taking out a new one within 24 hours is treated as proof of a violation (§ 138.14(12)(a)).

If you do not repay in full at the end of the term, the lender must offer you the chance to repay the outstanding balance in four equal installments, each due on a payday (§ 138.14(11g)(a)). Once a lender has made you that offer, no lender has to offer you another plan for the next 12 months (§ 138.14(11g)(b)).

Your rights

1. A licensed lender. Online or in a store, the lender needs a DFI license, posted where you can see it. Check at 608-261-7578.
2. A cap on what you owe. No more than $1,500 or 35% of your gross monthly income, across all lenders.
3. A 90-day limit. A loan cannot run longer than 90 days.
4. One refinance, no more.
5. A four-installment plan. Offered if you cannot repay at the end of the term.
6. A capped charge after the due date. No more than 2.75% a month, and no late or default penalty.
7. A right to cancel. Return the money by the close of business the next business day, with no charge.
8. No criminal threats. The lender can sue, but cannot threaten or pursue criminal action.
9. Your data kept private. The lender and the database operator cannot sell your information (§ 138.14(14m)).
10. A right to sue. If a lender breaks the law, you can recover the greater of $250 or the loan amount, plus costs and attorney fees (§ 138.14(16)).

What happens if you cannot repay

Take the four-installment plan when the lender offers it at the end of the term. If a lender refuses it, threatens prosecution, or charges more than the law allows, file a complaint with DFI. Read what happens if you default on a payday loan for how collection works, and how to escape the payday loan cycle if one loan keeps leading to the next. If the real problem is a bill you cannot cover, start with what to do when you can’t make this month’s payment.

Alternatives worth trying first in Wisconsin

These are roughly cheapest first, with the payday loan last for comparison:

Option	What it costs	The catch
Payment plan on the bill itself	Often nothing	You have to ask before the due date
211 referral to rent, utility, or food help	Nothing	What is funded varies by area
Federal credit union PAL I	Up to 28% APR plus an application fee of up to $20; $200 to $1,000, 1–6 months	One month of membership first; one PAL at a time
Federal credit union PAL II	The same caps; up to $2,000, 1–12 months	Not every federal credit union offers one
Wisconsin payday loan	$45 fee on $300 at $15 per $100, due in 14 days (above)	About 391% APR; state law does not cap the rate before the due date

The credit union limits come from federal regulation (12 CFR 701.21(c)(7)): no more than three PALs in six months, and no rollovers. Call 211 to reach the local referral line. Employer pay advances and earned-wage apps cost more than their small fees suggest; payday loan alternatives that actually work has the numbers for each option. If an installment loan is on the table, installment loans vs. payday loans explains how to compare total cost.

If you do borrow, compare the APR on at least two offers, borrow the smallest amount, and confirm the lender’s DFI license before you sign.