Skip to main content

Auto title loans show spin-off issues

People who put their cars up as collateral for what are supposed to be short-term emergency loans are being hit with 300% interest rates, a high repossession rate and long repayment periods. That’s according to a Consumer Financial Protection Bureau study released Wednesday. The report is the first from federal regulators to examine the auto […]

Borrowers struggle to pay one-time payme...

John Moore/Getty Images One in 5 borrowers of one-time payment auto loans have their car or truck seized by the lender for non-payment of their debt. More than 4 out of 5 of these types of loans are renewed on their due date because borrowers cannot afford to repay them in one installment. And more […]

Are auto title loans predatory? A feder...

A report released Wednesday by the federal Consumer Financial Protection Bureau found high rates of vehicle repossession and long-lasting debt within the auto title lending industry. Auto title loans are meant to provide borrowers with short-term access to cash when they need it most. But the CFPB found that for many consumers, loans quickly snowball […]

One-time payment car title loans can cau...

Most borrowers who take out a one-time payment car title loan end up borrowing again because they can’t afford to make the payment when due, according to a new federal study. That’s why a lot of auto title business comes from borrowers who end up taking out multiple loans in a row and staying in […]