| Car title loans are somewhat similar to secured | | | | quarter of Tennessee title lenders also reportedly |
| loans, in the aspect that they both require some | | | | charge illegal fees on top of the high rates. |
| sort of collateral to be put up. With a car title | | | | While there is some illegal activity going on with |
| loan, however, a vehicle needs to be offered up | | | | some title loan lenders in Tennessee, there are |
| as collateral. The lenders require the borrower to | | | | many honest lenders as well. There are |
| provide certification that the car title is in fact | | | | approximately 900 title loan locations throughout |
| theirs. | | | | the state, so there are obviously some honest |
| Car title loans are usually intended for the short | | | | lenders. |
| term. While the borrower can have up to five | | | | Other states that have many title loan locations |
| years or so to pay back a regular secured loan, | | | | include Alabama and Missouri. According to |
| they’re required to pay back on the car title | | | | regulators, there are 997 licensed locations in |
| loan within just a few months. Unfortunately, | | | | Alabama and 250 in Missouri! Clearly, there are |
| many title loan lenders charge outrageous fees | | | | plenty to choose from. |
| and interests, making it nearly impossible at times | | | | If you’re interested in a loan but don’t |
| for the lender to pay the loan back. Because of | | | | think you’d qualify for a secured or unsecured |
| such behavior, there are a lot of laws in place for | | | | bank loan, then you can check with your state |
| title loans, which vary from state to state. | | | | laws and regulations to find out information |
| In places such as Nashville, TN for instance, some | | | | regarding car title loans. Make sure you read |
| lenders charge much more than the 22% allowed | | | | reviews online first, in order to make sure that |
| per month that’s required by Tennessee | | | | you know which title loan lenders are trustworthy. |
| law. That 22% is 264% APR. Over one | | | | |