Why aren't all personal loans available in every state?

Each U.S. state regulates consumer lending through its own banking department or equivalent agency. Federal preemption allows national banks and federally-chartered credit unions to operate across state lines under federal rules, which is why some lenders are available everywhere while others are state-limited.

For borrowers, the practical implication: pre-qualify only through marketplaces or lenders that explicitly serve your state. Applying with a lender that doesn't operate in your state wastes a hard inquiry on a guaranteed decline.