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U.S. PIRG Consumer Blog
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March 28, 2007
Iowa bans car title loans
It's bad enough when a tawdry payday lender uses your un-cashed check as collateral on a triple-digit predatory small loan. Many people may not be aware that in some states, car title pawn companies are allowed to use a copy of your car keys as well as your actual car title as collateral for a similar small loan of a few hundred dollars. Can't pay back your $200 loan? They take your car, no matter what it's worth. Here's Iowa Attorney General Tom Miller's statement on Iowa's new ban on car title pawn. Meanwhile, Blue Oregon critiques a car title ad running on Oregon TV.
Posted by Ed Mierzwinski at March 28, 2007 10:22 AM
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