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State lending rules

Texas lending rules

Texas is covered on Loancalculated with 1,224 city and town pages. Personal-loan terms in Texas are set by licensed lenders under state law; the sourced rules below apply to every borrower in the state.

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By the Loancalculated Editorial Team · Last updated 2026-09-16

Key rules for borrowers in Texas

RuleDetailSource
Maximum legal interest rate (usury cap) 10% per year maximum; a greater rate is usurious unless otherwise provided by law (Tex. Fin. Code § 302.001)
Source says: The maximum rate or amount of interest is 10 percent a year except as otherwise provided by law.		 Texas Legislature (Texas Constitution and Statutes)
as of 2026-09-16
Payday lending status Legal via licensed credit access businesses (payday/title-loan brokers); the third-party lender itself is not licensed (Tex. Fin. Code ch. 393)
Source says: the credit access business that serves as the broker is the licensee in this regulated industry		 Texas Office of Consumer Credit Commissioner (OCCC)
as of 2026-09-16
Small-loan / installment lender licensing License required for non-depository lenders charging more than 10% interest; Chapter 342 governs consumer loans (Tex. Fin. Code § 342.051)
Source says: Non-depository lenders who engage in making, transacting, or collecting loans with a rate of interest greater than 10% must be licensed by the OCCC.		 Texas Office of Consumer Credit Commissioner (OCCC)
as of 2026-09-16
State lending regulator Texas Office of Consumer Credit Commissioner (OCCC)
Source says: The OCCC licenses and regulates non-depository lenders in the state of Texas.		 Texas Office of Consumer Credit Commissioner (OCCC)
as of 2026-09-16

Cities in Texas

We cover 1,221 cities and towns in Texas.

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The lowest rates are only available to the most qualified applicants.

Advertising disclosure: Loancalculated may receive a referral fee if you apply through the link above. That fee does not change the rate you are offered, and it does not change our content. We are not a lender. Read the full disclosure.

Frequently asked questions

What interest rate can a lender charge in Texas?
It depends on the product and the statute that governs it. The sourced table on this page lists Texas's usury cap and the licensing rules, each with its publisher and a link to the primary source.
Are payday loans legal in Texas?
Payday lending is regulated state by state; some states permit it, some cap it, and some prohibit it outright. See the sourced figure on this page for the current position.
Do I need a license to lend money in Texas?
Most consumer lenders must be licensed by the state regulator named on this page. You can verify a lender's license with that regulator before you sign anything.

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