§ 22322 Out-Of-State Loan Enforcement

• •If you borrow money from another state, California will only make you pay back what you borrowed plus extra fees, but not more than what California allows for loans made here.
• •The extra fees (like interest or broker fees) can't be higher than what California lets its own lenders charge for the same loan amount.
• •This law makes sure out-of-state loans don’t charge you more than California thinks is fair.

You take out a $10,000 loan from a bank in Nevada with really high interest and fees.

California will only make you pay back the $10,000 plus extra fees, but not more than what California allows for a $10,000 loan. If Nevada’s fees are higher than California’s rules, you don’t have to pay the extra.