Keys for Collateral (executive summary)
Posted December 18, 2012 in Press ReleasesDownload summaryBack to full report
How auto-title loans have become another vehicle for payday lending in Ohio
Beginning in 2012, Policy Matters and other observers around Ohio began tracking auto-title lending as a troubling development in payday lending. Our subsequent investigation reveals that at least two companies are making payday loans in Ohio using vehicle titles as collateral.
Like storefront payday lending, auto-title lending carries a triple-digit annual percentage rate (APR), has a short payback schedule, and relies on few underwriting standards. But the new loans may be even more dangerous for struggling families than the more established storefront payday loans