What a title loan costs — before Utah’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 Utah
- Rate cap
- No statutory rate cap. Utah is one of roughly nine states that sets no limit on the cost of a car-title loan; only a general unconscionability standard applies. Lenders must disclose rates/fees per Truth in Lending (Reg Z).
- Key law
- Utah Title Lending Registration Act, Utah Code Sec. 7-24-101 et seq. (operational requirements at Sec. 7-24-202); enacted by 2003 H.B. 189.
- Enforcement
- Title lenders must register with the Utah Department of Financial Institutions (DFI). The Act limits rollovers (only at borrower request), caps loan amount relative to vehicle value, and requires an ability-to-repay assessment, but does not cap price.
Utah's Title Lending Registration Act (Utah Code Sec. 7-24) imposes no interest-rate cap on car-title loans; Utah is one of about nine states with no cost limit.
What it means for a Utah borrower
Auto title loans are legal in Utah and there is no cap on the interest they can charge, so APRs are very high. Lenders must register with the state, disclose all costs, and follow limits on renewals, but the price is left to the market. Read the contract carefully because the cost can be substantial.
Before you borrow in Utah
- Check whether the lender is licensed in Utah — many high-cost online lenders are not.
- Revoke ACH authorization in writing to stop automatic withdrawals from your account.
- File a complaint with the Utah attorney general and the CFPB.
- Ask whether the balance is even collectable under Utah law before you pay a collector.
Cheaper first — try these before a title loan in Utah
Title Loans and tribal lenders in Utah
Many online lenders that market title loans to Utah 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 Utah residents and how state law applies to them, see the Utah tribal-lending page.
Tribal loans in Utah →Frequently asked questions
Are title loans legal in Utah?
In Utah, 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 Utah?
No statutory rate cap. Utah is one of roughly nine states that sets no limit on the cost of a car-title loan; only a general unconscionability standard applies. Lenders must disclose rates/fees per Truth in Lending (Reg Z).
What can I do about a title loan I already have in Utah?
Utah 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 Utah attorney general or the CFPB if the lender breaks the rules.