South · Vehicle-title lending · State statute guide
Title loan laws in Arkansas
No — vehicle-title lending is not permitted in Arkansas. There is no license for the product, so a lawful title loan cannot exist here, including online offers.
Are title loans legal in Arkansas?
No — vehicle-title lending is not permitted in Arkansas. There is no license for the product, so a lawful title loan cannot exist here, including online offers.
Statute: Ark. Const. amend. 89
A title loan is secured by your vehicle, so legality is only half the question — the other half is what the statute lets the lender do with the lien if you fall behind. In this state, a lender holding your title at payday-style rates holds an unenforceable claim.
What a title loan really costs
Arkansas's cap: 17% constitutional usury cap. On a secured loan of $1,000 that is roughly $250 in fees for one month. Installment structures spread the cost but multiply the months — read the total of payments, not the monthly figure.
Repossession: when the lender can take the car
No licensed repossession process exists here, because no title loan can be legally made. If a lender threatens to take your car over an illegal loan, that threat is itself reportable to the Arkansas State Bank Department.
Who regulates title lending in Arkansas?
Arkansas State Bank Department licenses title lenders and takes complaints — the license lookup and complaint desk are at banking.arkansas.gov.
Repossession rules in Arkansas
Where title lending is licensed, repossession follows the commercial-code baseline that every secured lender must run: a genuine default, written notice and a chance to cure, a commercially reasonable sale of the vehicle, and any surplus above the debt returned to the borrower. Arkansas's notice periods and licensing enforcement run through the Arkansas State Bank Department (banking.arkansas.gov) — the same office that takes title-lender complaints.
Because no classic title lender is licensed in Arkansas, a repossession threat tied to a "title loan" here points at an unlicensed lender — document it and report it.
Last verified September 6, 2026 · Statute: Ark. Const. amend. 89 · Source: Arkansas State Bank Department · Not legal advice — confirm with the regulator.
Questions about Arkansas title loan laws
What is the maximum title loan amount in Arkansas?
There is no lawful title-loan amount in Arkansas — the product is not licensed.
Can the lender repossess my car in Arkansas?
A lender holding your title from an illegal loan has no lawful claim in Arkansas — and reporting the lender is the correct response to a repossession threat.
How much does a title loan cost in Arkansas?
The statutory cap: 17% constitutional usury cap. Compare the total of payments, not the monthly rate — a 25% monthly fee is about 300% APR on a single-payment note.
Are online title loans legal in Arkansas?
No lawful online title loan exists for Arkansas residents — any offer is unlicensed, and the loan's lien can be challenged.
Where do I report an illegal title lender in Arkansas?
To the Arkansas State Bank Department (banking.arkansas.gov). Bring the title agreement and payment history; if the lender is unlicensed, also notify the Arkansas Attorney General and the CFPB.
What are the repossession laws in Arkansas?
Secured-lending repossession everywhere follows the same baseline: a genuine default, written notice with a chance to cure, a commercially reasonable sale, and any surplus above the debt returned to the borrower. Arkansas's notice periods and licensing enforcement run through the Arkansas State Bank Department. Since no classic title lender is licensed here, a repossession threat tied to a title loan is itself reportable.