 TITLE: Are Title Loans Worth the Cost? CONTENT: How Much Does a Title Loan Cost?\n--------------------------------\nTitle loans are an easy way to get cash fast. But they can also intensify your financial hardship if you're not careful.\nTitle loans often charge an interest rate of 25% per month. While that doesn't sound high compared with some personal loans for bad credit, it comes out to an annual percentage rate (APR) of 300%.\nAs an example, let's say you borrow $500 with the following loan costs:\n*   10% interest rate\n*   $150 finance charge\n*   $33 title certification fee\nIf you pay off the loan over 30 days, your total cost will be $687.11, which comes out to an APR of 455.3%!\nIf your financial situation is already tight, adding fees and interest into the mix can make things more difficult. If you want to avoid repossession of your car but know you aren't going to be able to pay back the loan on schedule, you can opt to roll over the loan into a new title loan. This, however, only adds to the fees and interest already charged, and can trap you in a vicious debt cycle. END