Payday Loans in Waco, Texas
An OppLoans Guide to Getting The Help (and The Loan) You Need

Waco, Texas is a quaint city with a lot to offer. From the Brazos riverfront to downtown to McLane Stadium and beyond, the seat of McLennan County is a picturesque Texas town. Life can, and should be good here. Sadly though, there are people in Waco whose lives are complicated by extremely difficult financial situations. Many residents of Waco struggle just to pay bills and put food on the table. In fact, nearly a quarter of the city’s residents live below the poverty line.(1) But even if you’re financial situation seems hopeless, there are many options in Waco.

Borrowing Money in Waco

The list above is helpful for finding specific social services, but what if you have another kind of emergency and need money quickly? This is when most people decide to pursue a loan. If you live in Waco, there are options for getting cash fast. But it’s important to know that there are many predatory lenders that profit from high-cost, dangerous loans. Make sure you understand all the rates and terms associated with a loan before you decide to take one on.

Waco Payday Loans
Quick cash may create more financial emergencies.

Fast cash sounds good when you’re in a tight spot. But taking out a risky loan always spells trouble later on. Payday loans are all over Waco, online or through storefront lenders. Getting quick cash is relatively easy, but if you pursue one of these high cost, short term loans you’ll learn the cost of payday lending in Texas.

In a payday loan, you promise to repay the amount with your next paycheck. But these loans also have extremely high interest rates and fees; they are usually only two weeks to a month long. This means that you don’t have a lot of time to pay off your balance. That’s when these loans get expensive for you, and extremely profitable for the lender.

Because of the short terms and high interest rates, a lot of people are unable to pay back these loans on their due date. This leads to “rollover”. Rollover means paying additional fees to extend a loan. Payday loans are supposed to last a couple of weeks or a month, but the Consumer Financial Protection Bureau says that payday borrowers are in debt for an average of 11 months or longer.(3) The longer you extend or “rollover” the loan, the more you end up paying.

And in the state of Texas, there are hardly any regulations to control these dangerous loans. In Texas you’ll see average APRs for payday loans with rates at around 457-522% for loans lasting 19-152 days.(4)

If you’re a resident of Waco, Texas and you’re in a difficult financial situation, remember that payday loans will cost you about double what they would in other states.3 Don’t take out a loan that will leave you deeper in debt. Contact the Texas Fair Lending Alliance with any questions or concerns about payday loans in Waco.

Waco Title Loans
A risky cash loan that might cost you your car.

Another easy but risky option for quick cash in Waco is an auto title loan. If you own a car, it’s easy to take out a title loan. But be extra careful because these high-interest loans are designed to take your car. With a bit of research you’ll find out about the perils of a car title loan.

Owning a car is the first step to getting a title loan in Waco. Your car title serves as collateral for the loan. Meaning the lender has the option of taking your vehicle away if you don’t repay the loan. This is the biggest risk of this kind of loan. Having a car repossessed would make anyone’s life more difficult.

With these loans, you don’t just risk losing your car, truck or motorcycle. You also agree to pay extremely high interest rates and steep fees. And in Texas, there are few regulations or laws to keep lenders from charging these excessive fees. The average APR for a title loan in Texas is between 243-289% and they usually last between 30-191 days.(5) Making it tough to pay the loan back on time, if at all.

But there are alternatives in Waco and you don’t have to settle for these risky loans. Contact the Texas Office of Consumer Credit Commissioner or the Consumer Financial Protection Bureau if you’re in Waco and have questions about auto title loans.

Pawn Shop Loans in Waco
Valuable items in exchange for expensive loans.

If you’ve ever gone to a pawn shop, you’ve seen that there is an array of interesting items for purchase. Want a saxophone? A new pinky ring? An old cassette player? You can probably find all this and more at a pawn shop in Waco. What you may not know, is that you can also find expensive short-term loans that can be difficult to pay back.

To “pawn” something is to hand over a valuable item to a pawn shop in exchange for a small cash loan. Most valuable items can be pawned. The main drawback to these loans it that if you fail to pay them back, the pawn shop has the right to sell your item to recoup their losses. Another downside is that the amount of the loan is usually a fraction of the true worth of the item pawned. You’re risking the loss of something valuable for a little bit of quick cash.

Pawn shop loans in Waco can be no longer than 30 days. But interest rates can be as high as 240%.(6) With high interest rates, paying back these short-term loans can be extremely difficult. There are other options. You don’t need to risk losing your valuables.

There are better ways to get emergency funds in Waco. Call the Consumer Helpline of the Texas Office of Consumer Credit Commissioner at (800) 538-1579 if you have questions about pawn shop loans.

Texas Subprime Reports

See more local Texas guides below:
Arlington | Austin | Dallas | El Paso | Fort Worth | Houston | Irving | Killeen | McAllen | Plano | Round Rock | San Antonio | Tyler | Waco


  1. “Waco, Texas Poverty Rate Data” Accessed March 7, 2016.
  2. “Veteran Homelessness Facts” Green Doors. Accessed February 25, 2016.
  3. Wheeler, Jason. “The Debt Trap: The cost of payday lending in Texas” WFAA8 ABC. February 7, 2015. Accessed February 17, 2016.
  4. “Pulling Back the Curtain: Shining a Light on Payday and Auto Title Loan Businesses in Texas.” Texas Appleseed. Accessed February 9, 2016. Back the Curtain_0.pdf
  5. “FAQs” Texas Fair Lending Alliance. Accessed February 9, 2016.
  6. “Texas Pawnshop Rate Chart – July 1, 2015 to June 30, 2016 Only.” Texas Office of Consumer Credit Commissioner. Accessed February 9, 2016.

*OppLoans is not affiliated with any of the programs, services or organizations referenced on this page.