When it comes to lending money, there are important state and federal laws that govern the process. When considering applying for such a loan, it is important to understand the laws and how they apply. Our staff at LoanMart can help decipher how regulations will affect an Auto Title Loan.
One of the major ways Car Title Loans are governed is that states can set both minimums and maximums for a loan. For example, title loans in Phoenix have a set minimum of $750. Elsewhere, loans have set maximums, like Illinois, which sets the cap at $4,000. Some states may also restrict the amount of a loan if the monthly payment exceeds 50 percent of income. Additionally, some states put a maximum on the loan processing fees. The best bet is to contact our staff to see how a state establishes the limits of a Car Title Loan and any associated fees.
Borrowing Multiple Times
Some people find they are in need of another loan after paying off an old one. A person can apply and be approved for another loan immediately in most states1
Holding Lenders Accountable
One of the chief reasons there are regulations in place is to protect the consumer from entering into a dangerous financial situation. We at LoanMart are required to abide by the regulations put in place by your state. When looking for Auto Title Loans in one of these other areas, contact us to find out how the state’s regulations may affect the loan. We do our best to provide the money needed when needed most1.