Choosing between payday loans vs. installment loans comes down to how you want to repay, and how much you actually need to borrow.
Quick answer: Standard payday loans in Florida are repaid in a single lump sum within 7-31 days and capped at $500, while Florida's installment payday product allows up to $1,000 repaid over 60-90 days, and separate Chapter 516 installment loans follow different rules entirely.
Single-payment payday loans
- Single lump-sum repayment
- Maximum $500, exclusive of fees
- Term of 7 to 31 days
- Fee capped at 10% of the amount borrowed plus a $5 verification fee
- Rollovers prohibited by law
Installment loans
- Florida’s installment payday product: up to $1,000, repaid over 60–90 days, still under the Deferred Presentment Act, with fees up to 8% of the outstanding balance biweekly plus $5
- Chapter 516 consumer finance loans: a separate statute entirely, with its own rate structure and licensing, sometimes marketed for larger amounts, unrelated to the payday framework
Which one fits your situation
A single-payment payday loan can make sense for a small, genuinely short-term gap you’re confident you can repay in full on your next payday. An installment product tends to fit better when you need a larger amount or would rather spread the cost over multiple smaller payments instead of one lump sum.
Frequently asked questions
It depends on the amount and lender; always compare the total finance charge and APR across the full term rather than assuming either type is automatically cheaper.
Yes, both Florida’s installment payday product and Chapter 516 loans aren’t bound to a $500 minimum or maximum; amounts vary by lender.
Typically yes, since repayment for both is usually structured around a bank account or debit authorization.
This article is educational and is not financial or legal advice. Before you borrow, confirm the lender is licensed with the Florida Office of Financial Regulation (OFR).