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What is the maximum interest a car title loan place can charge?

My daughter owed 500 dollars to a car title loan place. When she went in to make a payment they said she now owes 1500. She said that is unlawful to charge her that much and went to research whether she had to pay that much. She missed one payment. When she started to leave for work this morning she found that they had taken her car. Now they say she owes 1900. The car is worth 10,000. Isn't this usury? What can be done? Where can I find laws that will protect her?

Public Comments

1. You have to read the contract where it talks about late fees- they can charge up to 29.9 percent. It is never a good idea to do a title loan, but she signed. You can try to make an agreement to get the car back cheaper though. Fight them a little
2. not that i know of. you got to understand these things for you sign off. all those places are lawful loan sharks.
3. There isn't much you can do since she signed some contract. I wouldn't delay anymore and pay $1900 and make it a lesson learn.
4. Typical situation you have like many other people,therefor,be patient and check out the resource here i found useful.http://carloan.onlineidea.info/poor-credit-used-car-loan.html
5. As soon as she misses the payment they are in the position to repossess the car. The usury interest is 60%/ year but the amount that she owes is no interest it is more likely combination of placing a lien on the car, hiring a sheriff to reposse the car (includes storage, tracking and towing fees and gas). You should ask for the breakdown of all the charges and see if you can negotiate lower amount. I've bookmarked this site to go back to next time I need a loan... http://www.knowledged.info/go.php?link=auto Best wishes