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Title Loan Laws And Disclosures For Each State
How Car Title Loans Are Regulated
Title loans are regulated at the state level. In a few states, these loans aren’t allowed, or interest rate caps are so low that traditional title loans aren’t an option. In other states, title loans are legal but may face strict rules, such as quick repayment terms, loan amount limits, or “all-in” APR caps. A third group of states allows them, but only through lenders working under other credit statutes, usually with tighter caps on amounts and terms.
If your state restricts traditional title loans, other types of consumer credit may be available, such as installment loans, lines of credit, or registration loans. Questions? Call 800-250-6279.
For each state below, we’ve linked to our site’s page with more information on lending options, regulations, and requirements in that state. This is general information, not legal advice.
If your state isn’t linked below, we don’t serve that state. Last Updated: November 4, 2026.
Title pawns in Alabama fall under the Alabama Pawnshop Act. The lender is treated as a pawnbroker and must be licensed with the state to offer vehicle-secured loans. The initial contract term is 30 days, with a monthly fee cap of 25% (300% APR). On a $1,000 title pawn, that’s up to $250 a month in fees. You can renew these title pawns monthly until repaid, with no loan-size limits.
Alaska
Alaska’s lending regulations don’t allow title loans.
Arizona allows title loans, and they are regulated as secondary motor vehicle finance transactions under the Motor Vehicle Time Sales Disclosure Act (ARS § 44-281 et seq.). The monthly cap is 17% for loans of $500 or less, 15% on loans up to $2,500, 13% up to $5,000, and 10% above $5,000. On a $2,000 loan at 15% a month, that’s up to $300 a month in finance charges.
Arizona law does not set a minimum or maximum repayment term. The repayment term length is set by agreement between the borrower and the lender.
Traditional title loans are not permitted in Arkansas because the state caps consumer loan interest rates at 17%.
Auto title loans are legal in California and regulated by the California Financing Law. Title loans in California between $2,500 and $9,999 have an interest rate cap of 36% plus the federal funds rate.
As of November 2026, the federal funds rate is approximately 3.88%, making the cap about 39.88%.
Consumer loans of $10,000 or more are not subject to any state interest rate cap under the California Financing Law. Consumer loans under $2,500 are generally unavailable in California because they fall under more restrictive small-loan interest rate caps.
Under AB 539, title loans between $2,500 and $9,999 require a minimum repayment term of 12 months. For loan amounts between $2,500 and $2,999, the maximum repayment term is 48 months and 15 days. For loan amounts between $3,000 and $9,999, the repayment term cannot exceed 60 months and 15 days. There is no statutory repayment term limit for loans of $10,000 or more.
Colorado
Colorado generally does not permit title loans. Interest rates on title loans (and other consumer loans) are limited to 36% on the first $1,000, with lower rates above that.
Connecticut
Title lenders can’t operate in Connecticut because of the state’s rate caps and small loan licensing rules.
Delaware permits title loans, and they are overseen by the Office of the State Bank Commissioner. Delaware has no maximum loan amount. There’s no interest rate cap, and repayment terms can run up to 180 days.
District of Columbia
Traditional car title loans are largely prohibited in the District of Columbia. DC Code § 28-3301 caps interest rates on non-bank consumer loans at 24% APR.
Under the Florida Title Loan Act, the Office of Financial Regulation licenses and regulates lenders.
Florida law limits title loans to an initial repayment term of 30 days, and extensions may be permitted if the lender and borrower agree.
Florida leaves the loan size entirely to the lender. Interest rates in Florida are calculated on a “simple interest” basis. The rate starts at 30% annually on the first $2,000, is 24% on the next $1,000, and is 18% on anything above $3,000. Monthly equivalents are 2.5%, 2%, and 1.5%.
Georgia treats title loans as “title pawns” under the Georgia Pawnshop Act. These title pawn loans have a 30-day repayment term, which can be renewed indefinitely if both parties agree. Georgia has no loan limits. Lenders can charge up to 25% a month for the first 90 days, then 12.5%.
Hawaii
Hawaii’s licensing requirements and interest rate restrictions don’t allow title loans.
Idaho does not set specific caps on interest rates, loan amounts, or repayment terms for title loans. The Idaho Title Loan Act applies. Lenders must be licensed, agreements last up to 30 days, and you can cancel your loan by the end of the next business day.
Title loans offered in Illinois must comply with an “all-in” interest rate cap of 36% under the Predatory Loan Prevention Act. There is no limit on loan size. Regulations require equal installments, and a borrower’s monthly payment cannot exceed 22.5% of gross monthly income.
Indiana classifies title loans as “supervised” under the state’s Uniform Consumer Credit Code. Interest rates on “supervised” loans are capped at 36% APR for portions of the loan up to $2,600. For “supervised” loans of $5,200 or less, the maximum repayment term is 37 months (25 months at $1,290 or less).
Indiana sets no minimum or maximum loan amount.
Iowa
Iowa does not allow most types of title loans. State law prohibits lenders from offering vehicle-title-backed loans if the interest rate exceeds 21% per year.
In Kansas, title loans are regulated under the state’s Uniform Consumer Credit Code. Title loans are structured as open-end credit in the state, with no interest rate cap. Loan terms and amounts are agreed to by the lender and borrower.
Kentucky permits title loans. Kentucky has no minimum or maximum repayment terms. Licensed lenders can charge up to 3% per month on title loans up to $5,000, with lower rates for larger loans. These loans are capped at $15,000.
Louisiana allows car title loans. Consumer loan interest rates are limited to 36% on the first $1,400 borrowed. For loans above $1,400, the cap falls to 27%, then to 24% past $4,000, and to 21% on any balance over $7,000.
Louisiana’s consumer loan statutes don’t address loan size.
Maine
Maine doesn’t allow most types of traditional car title loans. These loans fall under the Maine Consumer Credit Code, which requires supervised lender licensing and caps finance charges.
Under Maryland law, a title loan is classified as a consumer loan. The maximum legal interest rate is 33% on the first $1,000 and 24% above that. For loan amounts over $2,000, the full balance is capped at 24%. All loans secured with a vehicle title in Maryland must be structured as installment loans with a set end date.
Massachusetts
Title loans are generally not permitted in Massachusetts. Under state law, loans of $6,000 or less are subject to a 12% interest rate cap. For loan amounts over $6,000, the state has a criminal usury cap of 20% APR.
Michigan does not allow traditional title pawns, where a lender keeps your title. Instead, some lenders offer vehicle-secured installment loans. Interest rates for these loans are capped at 25% per year.
Minnesota allows title loans on paper, but licensed lenders have rate caps between 21.75% and 33% APR (Minn. Stat. § 47.59). Lenders must be licensed by the Minnesota Department of Commerce.
Under the Mississippi Title Pledge Act, the maximum loan amount is $2,500, and the state caps the fee at 25% of the principal for each 30-day period. You can renew your loan every 30 days, but each renewal must reduce your principal by 10%.
Missouri has no caps on interest rates for auto title loans. The minimum repayment term is 30 days. Renewals are allowed, but at the third renewal, you must pay down 10% of the original principal.
Montana caps the initial term at 30 days, and consumers can renew loans as long as the principal is reduced by 10% with each renewal, starting with the sixth renewal. Interest rates are capped at 36% per year for title loans in Montana.
Nebraska
Unlicensed lenders may charge up to 16% for title loans, while licensed installment lenders can charge up to 24% on the first $1,000 borrowed, and 21% on any amount above that. The state does not have a set minimum or maximum on repayment terms; these terms are set by the borrower and lender.
In Nevada, title loans are capped at the vehicle’s fair market value, and no state laws cap interest rates. The original repayment term is up to 30 days, and lenders can extend these loans up to 6 times, each for up to 30 days (a total of 210 days).
New Hampshire
New Hampshire regulates title loans under RSA 399-A, which limits interest to 25% per month. These loans must have a repayment term of no more than 1 month, and a lender may renew the loan up to 9 additional periods (for a total of 10 months). With each renewal, the borrower must pay at least 10% of the original balance plus finance charges.
New Jersey
In New Jersey, the state’s usury regulations cap interest rates at 30% for most consumer loans.
Under the New Mexico Small Loan Act, loans of $10,000 or less are capped at 36% APR. The minimum repayment term is 120 days. The NM Financial Institutions Division regulates these lenders.
New York
New York’s usury laws prevent most traditional car title loan lenders from operating there. Non-bank lenders must comply with a 16% APR civil usury cap, and rates above 25% APR may result in criminal usury penalties.
North Carolina has no laws regulating title loans, but vehicle-secured loans must comply with the state’s consumer lending regulations. Under North Carolina General Statute 24-1.1, consumer loans of $25,000 or less are subject to a 16% per annum interest rate cap. Lenders licensed under the Consumer Finance Act may charge up to 33%. Traditional title loan products are generally unavailable in North Carolina.
North Dakota
Title loan companies in North Dakota must comply with the state’s usury rate restrictions, which cap interest rates on consumer loans from non-regulated lenders at 5.5% above the six-month US Treasury Rate, as computed monthly by the state banking commissioner. As of November 2026, the six-month Treasury Bill Rate is about 3.89%, setting the current maximum usury rate at about 9.39%.
Two laws govern title loans in Ohio: the Ohio Consumer Installment Loan Act and the Ohio Short-Term Loan Act. You can’t use a vehicle as collateral for a loan of $1,000 or less.
Many consumer lending companies in Ohio are regulated by the Ohio Consumer Installment Loan Act. This act allows interest rates of up to 25%. Repayment terms must be at least 6 months.
In Oklahoma, vehicle-secured loans are regulated as “supervised loans” under the Consumer Credit Code.
As of November 2026, the maximum finance charge for a title loan is capped at 32% plus the Federal Funds Rate (currently 35.88%) on the first $7,000 of the principal balance, 23% plus the Federal Funds Rate (currently 26.88%) on balances between $7,000 and $11,000, and 20% plus the Federal Funds Rate (currently 23.88%) on any amount above $11,000. Alternatively, lenders may charge a flat 25% plus the Federal Funds Rate (currently 28.88%) on the full principal balance, whichever is higher.
Your loan must have a fixed end date, and repayment terms are capped at 37 months for smaller loans and at 49 months for loans over $2,040.
A lender must be licensed in Oregon, and consumer loan interest rates are capped at 36% annually. The minimum repayment term for a title loan in Oregon is 31 days, and the maximum is 60 days. Oregon allows no more than 2 renewals per loan. After the 2nd renewal, the loan must be paid in full before any new lending agreement can be made.
Pennsylvania
Pennsylvania’s interest rate ceiling doesn’t allow title loans.
Rhode Island
Rhode Island state law caps most consumer loans at 21% each year, and small loans up to $5,000 funded by licensed lenders are capped at 24% to 36%.
Vehicle title loans are regulated by the South Carolina Consumer Protection Code. They must have an initial payoff term of at least 30 days and can be renewed up to 6 times. There are no minimums or maximums on the loan amount. It cannot exceed the vehicle’s fair market value.
South Dakota
South Dakota voters approved a 36% rate cap in 2016.
The Tennessee Title Pledge Act permits car title loans up to $2,500 with an initial 30-day repayment term. These loan agreements may be renewed automatically for the borrower. At the third renewal, the borrower must pay 5% of the original amount, plus fees and interest. In Tennessee, title loan lenders can charge up to 20% of the original principal per month, plus a 2% monthly interest rate.
Texas allows car title loans with no state-level cap on loan amounts, interest rates, or fees. Most title loans in Texas are arranged through Credit Access Businesses (CABs). However, many Texas cities (including Austin, Dallas, Houston, and San Antonio) have local lending ordinances that cap loan amounts at the lesser of 3% of your gross annual income or 70% of the vehicle’s retail value. In these cities, local ordinances may require that each installment payment reduce the principal by at least 25%.
Utah allows car title loans, with no set limits or caps on loan amounts, repayment terms, or interest rates. In 2003, the state legislature passed House Bill 189, which established rules for vehicle-secured lenders. Title lenders must register with the state and post the interest or fees charged in connection with a loan, in accordance with the Truth in Lending requirements.
Only one loan can be provided per vehicle, up to its fair market value. The loan may be renewed.
Vermont
Vermont’s rate caps don’t allow title loans because title loan rates exceed the state’s 18% to 20% cap on vehicle-secured loans under Vermont Statute § 41a.
Virginia state law allows title loans up to 50% of a vehicle’s fair market value, with a maximum loan amount of $2,500. These loans are regulated by the Virginia Fairness in Lending Act, which caps interest at 36% APR. In addition to interest charges, licensed lenders may assess a monthly maintenance fee equal to the lesser of 8% of the original loan amount or $15.
Payment terms in Virginia range from 6 to 24 months. Shorter terms are available if the scheduled monthly payment falls within a set percentage of the borrower’s verified income.
Title loans are legal in Washington only through lenders licensed under the Consumer Loan Act, which caps rates at 25%.
West Virginia
Car title loans are not permitted in West Virginia.
Wisconsin law allows borrowers to obtain title loans up to 50% of the vehicle’s value, with a maximum of $25,000.
There’s no cap on interest rates before the loan matures, and the repayment term can be up to six months. If the loan is not fully repaid by the maturity date, the interest rate is capped at 2.75% monthly (33% APR).
Wyoming
Wyoming caps consumer loan rates at 36% for the first $1,000 borrowed and 21% above that. One requirement is that the lender must be licensed within the state.
