What a title loan costs — before Georgia’s rules
A title loan is usually a single-payment loan due in 15–30 days at around 25% per month — roughly 300% APR — secured by your vehicle. The defining risk is not the rate but the collateral: miss a payment and the lender can repossess the car, and research finds about one in five borrowers eventually loses the vehicle. Where a state caps rates low, single-payment title lending is not offered and a loan above the cap is generally void.
The law in Georgia
- Rate cap
- Interest plus pawnshop charges up to 25% of principal per 30-day period for the first 90 days (about 300% APR), then up to 12.5% per 30 days thereafter (about 150% APR) (O.C.G.A. § 44-12-131(a)).
- Key law
- Georgia Pawnbroker Act — motor vehicle title pawns, O.C.G.A. § 44-12-130 et seq. (rate rule at § 44-12-131).
- Enforcement
- Title pawns are governed by the Pawnbroker Act and largely overseen at the local level; the Georgia Attorney General’s Consumer Protection Division handles deceptive-practice complaints. Charges exceeding the statutory cap are uncollectable and void the transaction under § 44-12-131(a).
O.C.G.A. § 44-12-131(a) lets a title pawnbroker charge interest and pawnshop charges totaling up to 25% of principal every 30 days for the first 90 days — roughly a 300% annual rate.
What it means for a Georgia borrower
In Georgia you can legally borrow against your car title as a “title pawn,” but it is one of the most expensive forms of credit, costing as much as 25% a month (about 300% APR) for the first three months. If you cannot redeem the title, the lender can repossess and keep the vehicle. Know the redemption deadline.
Before you borrow in Georgia
- Check whether the lender is licensed in Georgia — many high-cost online lenders are not.
- Revoke ACH authorization in writing to stop automatic withdrawals from your account.
- File a complaint with the Georgia attorney general and the CFPB.
- Ask whether the balance is even collectable under Georgia law before you pay a collector.
Cheaper first — try these before a title loan in Georgia
Title Loans and tribal lenders in Georgia
Many online lenders that market title loans to Georgia residents are tribal lenders arguing their sovereignty places them outside state rate caps — a separate legal question this site tracks in depth. For which tribal brands lend to Georgia residents and how state law applies to them, see the Georgia tribal-lending page.
Tribal loans in Georgia →Frequently asked questions
Are title loans legal in Georgia?
In Georgia, single-payment auto title loans are legal and enforceable, commonly around 300% APR, with the car as collateral. The speed is real; so is the repossession risk. Check the total cost and never pledge the car you rely on to get to work.
What is the maximum title loan rate in Georgia?
Interest plus pawnshop charges up to 25% of principal per 30-day period for the first 90 days (about 300% APR), then up to 12.5% per 30 days thereafter (about 150% APR) (O.C.G.A. § 44-12-131(a)).
What can I do about a title loan I already have in Georgia?
Georgia allows this lending, so the loan is generally enforceable — but you can still revoke ACH authorization in writing, avoid taking a second loan to cover the first, and file a complaint with the Georgia attorney general or the CFPB if the lender breaks the rules.