The Law Office of Boyd M. Mayo, PLLC

Firm Pursuing Claims for Illegal Payday Loans

The Law Office of Boyd M. Mayo is pursuing claims for people harmed by illegal payday loans.


A payday loan is a small, unsecured, high interest, short-term cash loan. In most cases, consumers write a post-dated, personal check for the advance amount, plus a fee. The lender holds the check for the loan period and then deposits it, or the customer returns with cash to reclaim the check.


Quick Facts about Payday Loans

  • You may only borrow a total of $700 or 30% of your gross monthly income, whichever is less.
  • Your information will be registered in a state-wide database, ensuring that all payday lenders have your most up-to-date loan information.
  • You may only take 8 payday loans per 12-month period.
  • If you are unable to repay your loan before your loan is due, you may request an installment plan with no additional fees.
  • If you currently have an installment plan you may not receive another loan.
  • Lenders may not harass or intimidate you when collecting a loan. If you are harassed, contact DFI and file a complaint.


Maximum Loan Amounts & Terms in Washington

  • Maximum Loan Term: 45 days
  • Maximum Loan Amount: $700 or 30% of your gross monthly income, whichever is less
  • Maximum Fee: 15% on the first $500 and 10% above $500.


Your Rights as a Washington Resident

  • Any payday loan obtained from a lender not licensed with the DFI, and not repaid to the lender may not be collected by lender and the lender may not pursue action in Washington State to collect the debt. See RCW 31.45.105.
  • You have the right to change your mind about the loan within one day.
  • You have the right to know all of the costs involved. You also have the right to a payment plan.
  • A payday lender may not threaten criminal prosecution as a method of collecting a past due loan.
  • A payday lender may not allow a borrower to use a new payday loan to pay off an existing payday loan by the same lender or an affiliate of the lender.


Under the Truth in Lending Act, the cost of credit must be disclosed. Among other information, you must receive information outlining the finance charge and the annual percentage rate (APR). The APR informs you of the cost of your loan. For example, a 14-day, $500 payday loan with the maximum fee permitted by statute would have an APR of 391.07%.


The Law Office of Boyd M. Mayo is a Spokane, Washington civil litigation firm dedicated to seeking justice for individuals and classes of people.  If you have taken out a payday loan and would like to speak with a lawyer, feel free to call us at (509) 381-5091 or contact us using our secure contact form.