In Detroit, payday lenders charge $15 per $100 advanced. For a $600 loan spanning 31 days, you would pay $90 in charges. Understanding the true cost—and what else is available—matters before you commit.

What are the fees on a $600 Detroit payday advance?

A $600 loan for 31 days costs $90 in fees. You pay back $690. The fee is $15 for every $100, which is a 391% APR. This is the maximum cost under Michigan law. Always confirm the final cost before you sign any agreement.

Lower-cost options instead of payday borrowing

Start with your employer or bank. Many Detroit employers like the City of Detroit and Henry Ford Health offer earned wage access. This lets you get paid early for a small fee, often under $5. If you have a checking account, ask your bank about their small-dollar loan programs. These typically have an APR around 100–200%, which is far lower than payday. For a full list, see our guide to payday loan alternatives.

Assistance programs for specific expenses

Call 211 in Detroit for help with rent or utilities. This connects you to United Way and Catholic Charities. They may offer grants you don't repay. For energy bills, apply for LIHEAP. It's a grant for heating and cooling costs based on your income. These options cost you $0.

Most affordable small-dollar loans in Detroit

A credit union PAL loan is the cheapest. DFCU Financial and other local credit unions offer these. A PAL loan has an APR capped at 28%. You usually must be a member for 30 days first. Membership is often based on your ZIP code. Check if you live within their service area.

Essential steps before taking out any loan

  1. Call 211 to ask about bill assistance grants.
  2. Check if your employer offers earned wage access.
  3. Ask your bank about their small-dollar loan program.
  4. Check eligibility for a credit union PAL loan.
  5. Calculate the total cost of a payday loan and ensure you can repay $690 on your next payday.

Common questions from Detroit borrowers

How much can I borrow in Detroit?

The maximum amount for a payday loan is $600. The loan term can be up to 31 days. Learn more about Michigan lending laws.

What if I can't repay the loan?

Contact your lender immediately. You may be able to enter an extended payment plan. Avoid taking another loan to cover the first, as this leads to more debt.

Are there free options for help?

Yes. Calling 211 can connect you to local hardship funds for bills like rent or utilities. LIHEAP provides grants for energy costs based on income.

Where do I apply for a loan?

If you decide a payday loan is your only option after exploring alternatives, you can start an application here. Remember to borrow only what you need and can repay.