Mississippi regulates these transactions under the Mississippi Title Pledge Act. A licensed title pledge lender may charge a service charge of up to 25% of principal per month, but a transaction has strict written-form, advance, extension, and redemption rules. Using a vehicle title as collateral can lead to loss of the vehicle, so read every term before signing.
Last reviewed: August 13, 2026. General consumer information, not legal advice.
Are title loans legal in Mississippi?
Yes. Mississippi calls them title pledge transactions and regulates them in Title 75, Chapter 67, Article 9. A business may not operate or portray itself as a title pledge lender without a valid license, and a separate license is required for each office. The license must be conspicuously posted at the place of business.
Sources: Miss. Code §75-67-419 and Mississippi Title Pledge Act.
Mississippi title pledge rules
| Rule | Consumer check |
|---|---|
| License | Every title pledge office needs a valid Mississippi license. §75-67-419. |
| Maximum advance | A lender may not loan more than $2,500 against one certificate of title. §75-67-415. |
| Service charge | The permitted title pledge service charge is up to 25% of principal per month, in lieu of interest or other charges. §75-67-413. |
| Excess charges | Interest, fees, or charges above the permitted amount are uncollectible and the transaction is void. §75-67-413. |
| Extensions | Extensions are for 30-day periods, must be in writing, and cannot capitalize accrued service charges into original principal. §75-67-413. |
| Principal reduction | At the first and each later extension, the pledgor generally must reduce principal by at least 10% of the original principal. §75-67-413. |
| Additional advance | An additional advance on the same property must use a separate agreement; a lender may not advance funds to pay off an existing agreement. §75-67-413. |
| Written form | The completed form must identify the office and state key redemption and forfeiture information; the lender must give the pledgor a completed copy. §75-67-407. |
| After maturity | The form must say the lender may take possession if the certificate is not redeemed by maturity, and that rights can be forfeited if not redeemed within 30 days after maturity. §75-67-407. |
| Personal liability | A lender may not require or allow the pledgor’s personal liability or waiver of the Act’s protections. §75-67-415. |
| Return after payment | Upon full payment, the lender must return the property and properly release liens, subject to specified exceptions. §75-67-415. |
Before signing
Confirm the office is licensed and obtain a completed transaction form. Check the cash advanced, 25% monthly service charge, maturity date, extension terms, total payoff, title details, and exact consequences of missing the deadline. Do not sign blank forms or surrender a title without a complete copy.
Redemption and repossession risk
Time matters. The required form says that failure to redeem by maturity may allow possession of the vehicle and that failure to redeem within 30 days after maturity by paying outstanding principal, interest, and other fees results in forfeiture of rights in the titled property. Keep the form, payment receipts, notices, and payoff request. The Act prohibits personal liability, but that does not eliminate the risk to the vehicle.
Alternatives and help
- Local help: call 211 for local food, housing, utility, and transportation resources.
- Credit union or bank: ask about a small personal loan, hardship option, or payment plan before risking a vehicle.
- Consumer complaint: retain the agreement and contact the Mississippi Department of Banking and Consumer Finance about licensing or compliance concerns.
- Federal complaint: use the CFPB complaint portal for covered consumer-financial concerns.
Cities we serve in Mississippi
Local pages remain subject to lender-relationship and quality review. This statewide hub is the source for Mississippi title pledge rules until individual pages are validated.
Frequently asked questions
How much can a Mississippi title pledge lender advance?
No more than $2,500 against a single certificate of title under §75-67-415.
What monthly service charge is allowed?
Up to 25% of principal per month under §75-67-413.
Can the lender make me personally liable?
No. §75-67-415 prohibits an agreement requiring or allowing the pledgor’s personal liability.
How long is the post-maturity redemption period stated on the form?
The form must state that a pledgor who does not redeem within 30 days after maturity can forfeit rights in the titled property.
Must an extension be written?
Yes. Extensions or continuations must be evidenced in writing.
