Infographic: Title loans - An expensive way to borrow money

From: Financial Consumer Agency of Canada

Infographic:  Title loans - An expensive way to borrow money
Text version

Title loans - An expensive way to borrow money.

A title loan is a short-term loan that uses the borrower’s car title as a promise that they will repay the loan.

You get a $4,000 title loan* using your car as a promise.

*Based on the value of your car

Illustration of an arrow.

35% annual interest over 3 years. Plus $600 in additional fees upfront.

Illustration of the borrower’s hand with a car on it.

Illustration of a bankers hand with stacks of bills and coins.

After 3 years, you end up paying $7, 491. ALMOST DOUBLE!

And, if you miss a payment…

Illustration of stacks of bills and coins with 3 arrows pointing up.

You may pay extra fees.

Illustration of a car being towed by a tow truck.

You could lose your car.

Before you make a decision, explore your options.

canada.ca/money

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