Massachusetts is a state located in the New England region of the northeastern United States. Payday loans in Massachusetts are illegal hence the lending of loan is not allowed and out of state Massachusetts Payday Loans provider cannot work in partnership with banks. This law is similar to the law of Georgia and Maryland.

Massachusetts Payday Loans companies uses usury laws and these loans are available to the residents of Massachusetts. There are no fixed loan amounts in Massachusetts; rather the amount borrowed depends on the consumer's monthly income. There are controversial issues regarding the use of Massachusetts Payday Loans lenders today. For example, many payday lenders are not licensed, bonded, or regulated by important consumer laws in Massachusetts.

There are tight laws for the prohibition of payday loans but still payday loans are available from the vendors who have identified the loopholes in the system.