Car Title Loans or Auto Title Loans in Arizona

Car Title Loans and Auto Title Loans (General Information)
Car Title Loans (General Information Updated)
Car Title Loans and Auto Title Loans in California
Car Title Loans and Auto Title Loans in Arizona

Car title loans and auto title loans in Arizona are designed for consumers who need to borrow money only for a short length of time – generally around two weeks.  These car title loans and auto title loans in Arizona are small loans secured by a borrower’s vehicle that typically have very high interest rates. 

Jim Kiser, the Star's editorial columnist believes that although Arizona law restricts auto-title loans to a maximum of 204 percent per year, the risks to the borrowers are far greater. That is because of the real possibility the borrower will default on the overpriced loan and lose his or her car.

He believes that not only do the borrowers lose what is often their most valuable possession, but their loss of a car may make it impossible to keep a job, attend school, access health care or provide needed transportation to family members.

He continues in his article titled "Auto title loans take interest rates to nosebleed heights",

"to compound regulatory problems, too little is known about the lenders' operations. Seventy firms are licensed to offer title loans in Arizona, but the Arizona Banking Department does not know the volume of their activity nor the rates at which they repossess cars.

One of the few documented statistics comes from an Arizona Appeals Court opinion in the year 2000. It said a loan company named Sal Leasing repossessed 18 percent of the cars.

With the growth of payday and title lenders, it is an especially treacherous time to be poor in America. Sadly, the inadequate regulations developed by Arizona and some other states reflect a cold indifference to the problems of their citizens."