Alabama state outline representing title loan availability and regulations in Alabama

State Guide

Last Updated: January 15, 2025

Content reviewed quarterly

Title Loans in Alabama

Alabama permits title lending with relatively few restrictions. Learn about Alabama title loan laws, requirements, and how to find a legitimate lender.

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Title Loans Legal

Yes

Regulated By

Alabama

Max Loan Amount

No statutory cap

Max Interest Rate

No cap

Cooling-Off Period

None

License Required

Yes

Title Loans in Alabama: What You Need to Know

Alabama permits title lending with relatively few restrictions. Title lenders in Alabama must be licensed through the State Banking Department. Borrowers should be aware that Alabama has no caps on interest rates or loan amounts, making it essential to carefully compare offers.

How Title Loans Work in Alabama

In Alabama, title loans work similarly to other states. You provide your vehicle title as collateral and receive a loan based on a percentage of your car's value. The lender places a lien on your title until the loan is repaid. You continue to drive your vehicle during the loan term.

Alabama Title Loan Regulations

Title loans in Alabama are regulated by the State Banking Department. While Alabama requires lenders to be licensed, the state has relatively permissive regulations compared to some other states.

Lenders must be licensed with the Alabama State Banking Department
Maximum loan amount: No statutory cap
Maximum interest rate: No cap
Cooling-off period: None

Typical Terms in Alabama

While terms vary by lender, here's what you can typically expect:

Loan amounts: $100 to $10,000+ depending on vehicle value
APR¹: Often 150% to 300% or higher
Loan terms: Usually 30 days to 12 months
Loan-to-value: Typically 25% to 50% of vehicle value

Alabama Requirements

Be at least 19 years old (age of majority in Alabama)
Have a valid Alabama driver's license or ID
Own a vehicle with a clear Alabama title
Provide proof of income
Have proof of Alabama residency
Provide vehicle registration and insurance

Regulatory Authority

Alabama title loans are regulated by the Alabama State Banking Department.

Visit Alabama Website →

To verify a lender is licensed, search their database or call (334) 242-3452.

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Connect with licensed title loan lenders operating in Alabama.

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Important Warning for Alabama Borrowers

Before taking out a title loan in Alabama:

• Alabama has no interest rate caps, so APRs can be very high
• Carefully compare offers from multiple lenders
• Only borrow what you can afford to repay
• Consider alternatives like credit union loans or payment plans
• Understand that you could lose your vehicle if you default

Title Loans in Major Alabama Cities

TitleHarbor connects you with licensed title loan lenders throughout Alabama. Find detailed information about title loans in your city below.

Title Loans in Birmingham, Alabama

Population: 200,000+|Metro: 1.1 million

Alabama's largest city and a major banking center. Known as the "Magic City" for its rapid growth.

Why Birmingham Residents Choose TitleHarbor

Fast funding² available in Birmingham
Licensed lenders serving Birmingham residents
Keep driving your car while repaying

Birmingham Title Loan Guide

Title Loans in Montgomery, Alabama

Population: 200,000+|Metro: 380,000

State capital with government and military employment. Home to Maxwell Air Force Base.

Why Montgomery Residents Choose TitleHarbor

Fast funding² available in Montgomery
Licensed lenders serving Montgomery residents
Keep driving your car while repaying

Find Montgomery Lenders

Title Loans in Huntsville, Alabama

Population: 215,000+|Metro: 490,000

Major aerospace and defense industry hub. NASA's Marshall Space Flight Center is located here.

Why Huntsville Residents Choose TitleHarbor

Fast funding² available in Huntsville
Licensed lenders serving Huntsville residents
Keep driving your car while repaying

Find Huntsville Lenders

Title Loans in Mobile, Alabama

Population: 190,000+|Metro: 430,000

Port city with shipbuilding and manufacturing. Alabama's only saltwater port city.

Why Mobile Residents Choose TitleHarbor

Fast funding² available in Mobile
Licensed lenders serving Mobile residents
Keep driving your car while repaying

Find Mobile Lenders

Alabama City Title Loan Guides

Get detailed local information for these major Alabama cities:

Title Loans Birmingham

All Alabama Cities We Serve

Our network of licensed lenders serves borrowers throughout Alabama, including:

Birmingham →MontgomeryHuntsvilleMobileTuscaloosaHooverDothanAuburnDecaturMadison+ All other Alabama cities

Frequently Asked Questions About Title Loans in Alabama

Get answers to common questions about getting a title loan in Birmingham and other Alabama cities.

How quickly can I get a title loan in Birmingham?

Most borrowers in Birmingham can get approved for a title loan within 30 minutes of applying. Once approved, you can typically receive your funds the same day or within 24 hours. The speed depends on when you apply and how quickly you provide the required documents. TitleHarbor connects you with licensed lenders in Birmingham who specialize in fast title loans and same day funding.

Are there title loan locations near me in Birmingham?

Yes, TitleHarbor works with multiple licensed title loan lenders throughout Birmingham and the surrounding areas. When you submit your information through our platform, we'll connect you with lenders who have convenient locations near you. Many of our partner lenders also offer mobile services where they come to you for vehicle inspection and loan finalization.

What are the average title loan amounts in Birmingham?

In Birmingham, title loan amounts typically range from $1,000 to $10,000, depending on your vehicle's value, condition, and equity. The average loan amount is around $2,500 to $3,000. Lenders generally offer 25% to 50% of your vehicle's current market value. TitleHarbor's partner lenders in Birmingham provide free vehicle appraisals to determine exactly how much you can borrow.

Can I get a title loan with bad credit in Birmingham?

Absolutely. Bad credit title loans are available throughout Birmingham because lenders focus on your vehicle's value rather than your credit score. Your car serves as collateral, which means most lenders don't run traditional credit checks or base approval decisions on your credit history. TitleHarbor specializes in connecting borrowers with bad credit to understanding lenders who approve based on your ability to repay and your vehicle's equity.

What documents do I need for a title loan in Birmingham?

To get a title loan in Birmingham, you'll need: (1) Your vehicle title in your name showing you own the car free and clear, (2) A government-issued photo ID like a driver's license, (3) Proof of income such as pay stubs, bank statements, or benefit letters, and (4) Proof of residence like a utility bill or lease agreement. Most borrowers already have these documents on hand, which is why the approval process is so quick.