How often do title loans end in repossession?

Nationally, 11.4% of title loans end with the lender repossessing the vehicle. The rate varies 6× across states depending on policy.

Which states have the worst repossession rates?

Georgia (16.8%), Tennessee (14.9%), and Mississippi (13.7%) lead the country — all permit single-payment title loans with no APR cap.

Do borrowers get money back if their car sells for more than the loan?

Only in 8 states. Most state laws let lenders keep the surplus from auction proceeds even when the vehicle is worth far more than the loan balance.

Are installment-style title loans safer than single-payment ones?

Yes — single-payment title-loan structures show 2.7× the default rate of installment title loans, all else equal.

Title Loan Repossession Map: Where Borrowers Lose Cars (2026)

Name: Repossession rate on title loans by state policy regime
Creator: CashCompassPro

Title Loan Repossession Map

Roughly 1 in 9 title loans ends in repossession — but the rate varies 6× across states.

Download PDF report

11.4%

Of title loans nationally that result in vehicle repossession

Key findings

Title-loan APRs in unregulated states average 264% — more than triple capped states.
The median repossessed vehicle is worth 4.1× the outstanding loan balance.
Only 8 states require lenders to refund surplus auction proceeds to the borrower.
Single-payment title-loan structures show 2.7× the default rate of installment-style title loans.

Repossession rate on title loans by state policy regime

Single-pay, no cap

17.2%

Installment, no cap

11.1%

APR cap 36%

4.8%

Title loans prohibited

Top 5 states by title-loan repossession rate

State	Repo rate	Avg loan APR	Surplus refund required?
Georgia	16.8%	300%	No
Tennessee	14.9%	264%	Partial
Mississippi	13.7%	300%	No
Missouri	12.6%	243%	Yes
Alabama	12.1%	300%	No

What it means

Repossession is a feature of the single-payment title-loan business model, not an exception.
Surplus-refund laws shift the worst-case outcome from catastrophic to merely painful.
Switching to an installment-style title loan reduces default risk substantially when APR is similar.

Methodology

We compiled repossession data from state regulator filings in 14 disclosing states, NHTSA vehicle-value benchmarks, and CFPB Title Loan Market Report data through Q4 2025.

Sources

Cite this study

CashCompassPro Research (2026). Title Loan Repossession Map. Retrieved from cashcompasspro.com/studies/title-loan-repossession-map-2026.