Kentucky Title Loan Laws: Rate Cap, Terms and Repossession

By Lenditup Editorial Team · Law last verified August 6, 2026 · How we verify

Yes. Title loans are legal in Kentucky, and lenders must follow KRS 286.4-410.

Title loan rules in Kentucky at a glance

Title loan rules in Kentucky
Title-loan law	KRS 286.4-410
Rate cap	Tiered by loan size: 36% to $5,000; 29.04% to $10,000; 27% above (3%, 2.42%, 2.25% per month)
Fees the law allows	Loan processing fee of 5% of the original principal, up to $150 (KRS 286.4-533(4)(a))
Loan term	Up to 10 years
Rollovers and renewals	Refinancing permitted (KRS 286.4-530(9)); no new loan within 10 days of another to obtain higher charges (KRS 286.4-530(11)); the loan processing fee may be charged only once per 90 days (KRS 286.4-533(4)(d))
Repossession	Allowed after default
Owe the balance after the car is sold?	Yes, the lender may collect what the sale did not cover. Check the statute for any minimum balance
Lender license	Required (Kentucky Department of Financial Institutions (DFI))
Statute	KRS 286.4-410; 286.4-530; 286.4-533; 286.4-580; 286.4-620 (Consumer Loan Companies)

Source: KRS 286.4-410; 286.4-530; 286.4-533; 286.4-580; 286.4-620 (Consumer Loan Companies) (read the law). We last checked it against the statute on August 6, 2026. See title loan laws in every state.

Maximum rate by loan size in Kentucky

Maximum annual rate by loan size in Kentucky
Loan amount	Maximum rate
Up to $5,000	36%
$5,001 to $10,000	29.04%
$10,001 to $15,000	27%

The rate is set by the loan amount and applies to the whole loan (KRS 286.4-530(1)(a)).

What a title loan costs in Kentucky

Under Kentucky's rate rules, borrowing $1,000 for 12 months costs $205.55 in interest at the maximum rate, so you repay $1,205.55. That is a 36% rate before any fee: the fee the law allows is not in these examples, and the APR in the lender's disclosure must include it. Your offer may differ.

Example title loan costs in Kentucky (interest only)
Loan	Term	Interest	Total repaid	Rate before fee
$1,000	12 months	$205.55	$1,205.55	36%
$3,500	12 months	$719.41	$4,219.41	36%
$7,500	12 months	$1,231.40	$8,731.40	29.04%
$12,000	12 months	$1,826.51	$13,826.51	27%

Kentucky also lets lenders charge a fee on top of the interest: Loan processing fee of 5% of the original principal, up to $150 (KRS 286.4-533(4)(a)). A fee like this raises the APR, so compare the APR in the lender's written disclosure, which must include it.

What happens if you can't repay

If you fall behind, the lender can repossess your car. Read the default and notice terms in your contract before you sign. If the car is sold for less than you owe, the lender may be able to collect the difference. Some states allow this only when the unpaid balance is above a set amount, so check the statute or ask the lender.

If you think you will miss a payment, call the lender before the due date and ask what options it offers.

How to check a lender in Kentucky

Title lenders in Kentucky must be licensed (Kentucky Department of Financial Institutions (DFI)). Search for the lender on the official license lookup before you sign. Lenditup does not check lender licenses for you (see how we verify).

Looking for a loan in Kentucky?

A title loan puts your car at risk, so compare it with a personal installment loan first. If a title loan is still the right fit, you can send one request and see what lenders and lending marketplaces in our network offer.

Start a title loan request

Lenditup is not a lender. Sending a request does not mean you will be approved; each lender sets its own rates and terms within Kentucky law.

Title loan questions for Kentucky

01What is the most a title lender can charge in Kentucky?

Tiered by loan size: 36% to $5,000; 29.04% to $10,000; 27% above (3%, 2.42%, 2.25% per month). Your contract must show the APR before you sign.

02How long is a title loan in Kentucky?

Up to 10 years, under Kentucky law.

03Can I roll over a title loan in Kentucky?

Refinancing permitted (KRS 286.4-530(9)); no new loan within 10 days of another to obtain higher charges (KRS 286.4-530(11)); the loan processing fee may be charged only once per 90 days (KRS 286.4-533(4)(d)). Each renewal adds cost, so ask for the total you will repay.

04What happens if I can't repay a title loan in Kentucky?

05How do I check that a title lender is licensed in Kentucky?

Title lenders in Kentucky must be licensed (Kentucky Department of Financial Institutions (DFI)). You can look a lender up in the official license search.

06Is Lenditup a title lender in Kentucky?

No. Lenditup is not a lender. We connect you with lenders and lending marketplaces in our network, and the lender you choose sets your rate and terms within Kentucky law.

Title loan laws in other states

Compare every state side by side on the state title loan law table, or read how title loans work and what lenders ask for.

Are title loans legal in Kentucky?