The average loan amount is $350 that needs to be paid back within 2 weeks. Lenders usually charge a fee of $45 on such loans, an amount which is equivalent to annual interest rates of almost 500 percent.

Laws governing payday loans can be termed as naïve in Nevada. There are no legal regulations or limitations on the maximum and minimum interest charges and fees to be levied on customers. The only advantage available to borrowers in Nevada is that there is no maximum term for the loans and one can take out several payday loans at one time with different lenders. However, there are certain legal limitations about the loan amount a borrower is eligible for as per the current payday loan laws in Nevada. Customers can borrow up to one-third of their monthly income. In addition, Nevada state law exercises certain restrictions where the maximum number of times a payday loan can rollover; it is four times.

Recently, certain reforms have been introduced in the payday loan laws so as to preserve the rights of the customers in a better way. As per these modifications, payday loan companies are prohibited from harassing customers who have defaulted with their loan payments. They need to be provided with three months of extra time without charging anything extra towards fees or interest.  If the customer still defaults, the lender can take the customer to court. However, the interest charges would be limited to 16 percent.