Car Title Loans A car title loan is a loan for a small amount of money and for a short time – usually 30 days They can be very expensive If you cannot pay back the lender you might lose your car What should I do before I get a car title loan? Before you get a car title loan consider other choices: • Can I get a loan from a bank or credit union?
for a car title loan • Explain why car title loans are more expensive than other ways of borrowing money • Identify ways to borrow money that might cost less than car title loans • Say what a car title loan is • Recognize higher and lower interest rates (APRs) • Understand why car title loans can be expensive
Like payday loans car title loans are marketed as small emergency loans but in reality these loans trap borrowers in a cycle of debt Car title loans put at high risk an asset that is essential to the well-being of working families—their vehicle A typical car title loan has a triple-digit annual interest rate requires repayment within one
CAR-TITLE LENDING ABUSES AND PREDATORY PRACTICES C ar-title loans are expensive loans averaging more than $1000 that are secured by the title to a vehicle that the borrower owns free-and-clear They are traditionally offered as payday-loan-like single-payment loans with one-month terms which tend to be renewed multiple times like their
CAR-TITLE LENDING ABUSES AND PREDATORY PRACTICES C ar-title loans are expensive loans averaging more than $1000 that are secured by the title to a vehicle that the borrower owns free-and-clear They are traditionally offered as payday-loan-like single-payment loans with one-month terms which tend to be renewed multiple times like their
from the National Automobile Dealers Association Used Car Guide Eastern Edition and be as of the vehicle’s repossession date If the guide does not provide the vehicle’s average trade-in value the highest-stated trade-in value is used; if it has no value for the vehicle the court must determine the