Auto title loans or "title loans" can result in you losing your vehicle, for good.

According to the records of the Texas Office of Consumer Credit Commissioner, there were 32,100 auto title loan repossessions in Texas, just in the first three quarters of 2014. That's more than 3500 repo's per month! Title loans can be a debt trap if you don't have the money to pay them off when they come due, and the interest is very high.

If you are about to have your Texas car or truck repossessed, don't let it happen! Filing chapter 13 bankruptcy can stop the repossession, and allow you to pay off the title loan over a 3-5 year period, at a level that you can afford, and at a very reasonable interest rate.

For example, let's say you owe $3500 on a title loan and you are paying $350 per month to renew the loan. If you renew if for one year, you will have paid $4200, and you'll still owe the original $3500 that you borrowed!

But if you file chapter 13, and all you owe is your title loan and "unsecured debt" such as credit cards, medical bills and payday loans, and you are a low income earner, your chapter 13 plan payments could be as little as $225 per month for 3 years - and that pays your title loan off at a reasonable interest rate, and also pays all of your attorney fees and also gets rid of or "discharges" all of your unsecured debts besides! No more collection calls and you are protected by the court's "automatic stay"; you can live and work in peace, while paying your debt what you can afford to pay.

Don't lose your vehicle to an auto title loan repossession! If you can't pay it, consider filing chapter 13 to stop the repossession and get out of debt once and for all. If you live in the Houston, Texas metropolitan area or surrounding counties, call our office at 713-772-8037 for more information or to set up your free, first consultation with Mr. Black or his associate attorney.

Do you think title loans should be permitted, yes or no? Should they be regulated or limited in the amounts that they charge? Have you had an experience with a title loan? What happened? Please leave your questions or comments below.

J Thomas Black
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Board Certified, Consumer Bankruptcy Law- Texas Board of Legal Specialization
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