Maryland lending rules

Personalloaner covers 157 Census places in Maryland, which together hold an estimated 1,545,931 people. Licensed lenders set personal-loan terms here under Maryland law, and the sourced rules below reach every borrower in the state.

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

Compare loan offers Run the numbers first

How we get paid: if you apply through the link above, a lending partner may send us a referral fee. It never changes the rate you are offered or what we publish. We are not a lender and we do not process applications. The lowest rates are only available to the most qualified applicants. Full disclosure.

Key rules for borrowers in Maryland

RuleDetailSource
Maximum legal interest rate (usury cap) 24% per year effective simple interest for qualifying loans (Md. Code Com. Law § 12-103(c)); otherwise 8% (written agreement) or 18%
Source says: "a lender may charge an effective rate of simple interest not in excess of 24 percent per year on the unpaid principal balance"		 Maryland General Assembly
as of 2026-09-16
Payday lending status Regulated as consumer loans: licensing and statutory interest-rate limits apply to payday-style loans (OFR)
Source says: "they are prohibited from charging or receiving an interest rate that is greater than authorized by the laws of this State"		 Maryland Department of Labor, Office of Financial Regulation
as of 2026-09-16
Small-loan / installment lender licensing Consumer Lender license required to make loans under the Maryland Consumer Loan Law (Com. Law § 12-301 et seq.)
Source says: "A Consumer Lender is a business that makes any loan or advance of money or credit under the Maryland Consumer Loan Law"		 Maryland Department of Labor, Office of Financial Regulation
as of 2026-09-16
State lending regulator Office of Financial Regulation; Commissioner of Financial Regulation (Maryland Department of Labor)
Source says: "is Maryland's consumer financial protection agency and financial services regulator"		 Maryland Department of Labor
as of 2026-09-16
OFR consumer-loan interest-rate limits 2.75%/month (33%/yr) on the first $1,000 of a loan ≤$2,000; 2%/month (24%/yr) thereafter and on loans over $2,000
Source says: "Maximum interest rate allowed by law is 2.75% per month or an annual interest rate of 33%"		 Maryland Department of Labor, Office of Financial Regulation
as of 2026-09-16

Places we cover in Maryland

The Census Bureau counts 157 places in Maryland, and the largest are linked below.

Compare personal loan offers Run the numbers first

How we get paid: if you apply through the link above, a lending partner may send us a referral fee. It never changes the rate you are offered or what we publish. We are not a lender and we do not process applications. The lowest rates are only available to the most qualified applicants. Full disclosure.

Common questions

How high can interest rates legally go in Maryland?
The answer turns on the product and on which statute applies to it. This page's table sets out Maryland's usury cap and licensing rules, and each row carries its publisher and a link to the primary source.
What is Maryland's position on payday lending?
Each state handles payday lending on its own: some permit it, some cap it, some prohibit it. The sourced row on this page gives Maryland's current position.
How do I know a lender is licensed in Maryland?
Consumer lenders generally need a licence issued by the state regulator identified on this page. Verify that licence with the regulator before you commit to anything.

Related