Title loans. Default means losing your vehicle and your ability to get to work. Default on a pawn loan only means losing the pawned item.

Which has a higher APR?

Title loans usually run 300% APR; pawn loans run roughly 60%–240% APR depending on state.

Do either report to credit bureaus?

No. Neither builds credit when paid on time, and neither hurts it when you default — you just lose the collateral.

Yes. Title loans average $1,000–$5,000 based on vehicle value; pawn loans are typically $25–$300.

Title Loans vs Pawn Loans

Both are secured short-term loans. The collateral changes everything.

	Title Loan	Pawn Loan
Collateral	Vehicle title	Physical item (jewelry, electronics)
Amount	$1,000 – $5,000	$25 – $300
Term	30 days	30 – 90 days
APR	~300%	60% – 240%
Default consequence	Lose your car	Lose the pawned item

You have an item you can live without and need a small amount fast. The downside is bounded — you only lose the item.

One in five title-loan borrowers loses their vehicle. If your car is your only transport to work, the risk almost never justifies the cost.

Questions

Clear answers to common questions before you compare loan options or apply.