What a title loan costs — before South Carolina’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 South Carolina
- Rate cap
- No statutory APR cap on loans above $600. Lenders must file/post a maximum rate schedule with SCDCA to exceed 18%; the most common filed rate for loans of $600 or less was about 273% APR (2023 SCDCA report). Title loans are structured at $601+ to escape the cap.
- Key law
- S.C. Code Ann. Title 37 (Consumer Protection Code), Sec. 37-3-413 (short-term vehicle secured loans) and Sec. 37-3-305 (filing/posting maximum rate schedule).
- Enforcement
- Regulated by the South Carolina Department of Consumer Affairs (SCDCA), which maintains the registered-creditor rate filings. On default the lender's sole remedy is repossession and sale of the vehicle; it cannot pursue the borrower personally (non-recourse) except for fraud.
South Carolina sets no APR cap on vehicle-title loans above $600; the most commonly filed maximum rate for small consumer loans was about 273% APR (2023 SCDCA State of Credit report).
What it means for a South Carolina borrower
Auto title loans are legal in South Carolina and commonly carry triple-digit APRs on loan amounts of $601 or more. There is no interest-rate ceiling on those loans, but the lender can only take the car if you default, not sue you for the balance. Loans run in one-month terms renewable up to six times (240 days max).
Before you borrow in South Carolina
- Check whether the lender is licensed in South Carolina — many high-cost online lenders are not.
- Revoke ACH authorization in writing to stop automatic withdrawals from your account.
- File a complaint with the South Carolina attorney general and the CFPB.
- Ask whether the balance is even collectable under South Carolina law before you pay a collector.
Cheaper first — try these before a title loan in South Carolina
Title Loans and tribal lenders in South Carolina
Many online lenders that market title loans to South Carolina 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 South Carolina residents and how state law applies to them, see the South Carolina tribal-lending page.
Tribal loans in South Carolina →Frequently asked questions
Are title loans legal in South Carolina?
In South Carolina, 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 South Carolina?
No statutory APR cap on loans above $600. Lenders must file/post a maximum rate schedule with SCDCA to exceed 18%; the most common filed rate for loans of $600 or less was about 273% APR (2023 SCDCA report). Title loans are structured at $601+ to escape the cap.
What can I do about a title loan I already have in South Carolina?
South Carolina 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 South Carolina attorney general or the CFPB if the lender breaks the rules.