Title Loan Lenders Failed to Disclose APR’s
For car title loan lenders, it’s always been a “best practice” to fully disclose APR’s. It’s not enough to simply advertise car title loan rates! Title loan lenders MUST fully disclose – in layman’s terms – corresponding Annual Percentage Rates [APR].
This is nothing new! TILA has played a dominant role in lending since the beginning of time.
There has not been a single OLA, CFSA, FISCA or state industry conference that failed to address TILA issues since 1998 when I attended my first conference. One lawyer after another has conducted “workshops” imploring all lenders to pay attention to this issue.
So suddenly the CFPB makes an announcement that 5 Arizona car title loan lenders failed to disclose their loan APR’s on their website?
SIMPLY ASTOUNDING! We’re talking about these failures having occurred from July, 2016 onward! CRAZY! Who are these fools?
- Auto Cash Leasing [founded 1999]
- Interstate Lending [2005]
- Oasis Title Loans [2013]
- Phoenix Title Loans [2013]
- Presto Auto Loans [2002]
The CFPB accuses these car title loan lenders of advertising a monthly interest rate but failed to state the annual APR.Annother lender is accused of forcing title loan borrowers to multiply the lenders advertised interest rate by 12! [Are you kidding me??]
To be fair, these 5 Arizona title loan lenders have not yet been found guilty in a court of law. Nor have they reached a settlement.
But you gotta know even the bureaucrats at the CFPB know how to take a screen shot of a title lender’s website. At least the interns do. Unless they’re kept busy doing other things.
Man, this is “Outer Limits” stuff. Too young to remember the TV show, “Outer Limits?” Too bad… great show!