Attorney General warns customers — and lawmakers — about car-title loans: “there is absolutely no reason for such astronomical interest levels. “
DES MOINES. Attorney General Tom Miller today cautioned customers in order to avoid car-title loans, which charge exactly exactly what he called “astronomical and unjustified rates of interest. “
“Car-title loans are incredibly costly they just drive many individuals deeper into financial obligation, ” Miller stated. “together with that, they pose the threat that is major of individuals to lose their automobiles also. “
Miller additionally had an email when it comes to Iowa Legislature:
“Pass the loan that is car-title, ” Miller stated. “Car-title loans are secured finance, but loans that are secured be less costly since they’re supported by an automobile as security. There is absolutely no reason for such interest that is astronomical. The Legislature should prohibit such abusive and unconscionable prices for car-title loans. “
The Iowa Senate authorized a car-title loan legislation this past year that will have capped car-title loan prices at 21 per cent – nevertheless the bill passed away whenever home leaders declined to debate or vote onto it. “It really is a easy and approach that is fair re re solve this issue, ” Miller stated.
Miller’s appeal ended up being built in a State Capitol news meeting with Sen. Joe Bolkcom of Iowa City, whom led your time and effort a year ago to pass the car-title legislation, and Diverses Moines Rep.