Have you been looking for a Phoenix auto title loan? Most of the people that need the loan just walk into auto dealerships or lenders without any idea about the financing of title loans and are not aware about the auto title loans. And that is being extremely vulnerable. The auto loan industry is rife with unwise dealings and predatory lenders along with scams that are completely illegal.
Even if you are in dire need of immediate cash and want a Phoenix auto title loan, there is no harm in safeguarding yourself from nefarious acts. The federal government has numerous laws that not only protect you from fraud but keep your confidential information completely private. It is best to know before you walk into an auto lenders office.
One of the foremost consumer protection laws includes the ‘Truth in Lending Act’. This Act formulates that the borrower’s financial information is to be kept safe and you as a borrower has a right to know all of the details of a Phoenix vehicle title loan. When the lender offers you a deal on the car, the lender is bound by law to provide you with all of the information pertaining to monthly payments, APR, due dates on the payments and liens and dues that pertain to the loan. The lender cannot make oral promises but provide everything in writing and if there is any vital information relating to the car title loan that is missing, the lender is breaking the law.
The second law that relates to consumer protection is the Consumer Leasing Act. As the auto industry uses leases commonly, giving you the right to use a car without actually purchasing the vehicle. However just like the other act, this act also binds the auto dealers to provide you with all of the details before you are coerced into signing the contract. The details should include taxes, down payment details and mileage limits which are often not told to the lessee.
The other Credit Practice Rules includes protection information for co-signers of auto loans. The lenders are bound by law to provide all the details in writing to the cosigners if the borrower defaults on the loan.
When you are aware of the safeguards and laws that protect your rights as a borrower, you can be more aware if predatory practices are being done at the lenders office. Not only can they be reported but your interest can be safeguarded as you don’t work with them.