Minnesota Title Loan Laws: Rate Cap, Terms and Repossession

By Lenditup Editorial Team · Law last verified October 2, 2026 · How we verify

Yes. Title loans are legal in Minnesota, and lenders must follow Sec. 47.602 MN Statutes.

Title loan rules in Minnesota at a glance

Title loan rules in Minnesota
Title-loan law	Sec. 47.602 MN Statutes
Rate cap	Greater of 21.75% APR, or 33% on the first $1,500 plus 19% above (Minn. Stat. § 47.59, subd. 3); title loans of $1,000 or less with more than 25% due within 60 days: 3% per month of the principal plus a storage/service fee (§§ 47.602, 325J.07)
Rollovers and renewals	No statutory renewal limit in Minn. Stat. § 47.602; Chapter 56 lenders may grant extensions or deferments (§ 56.131, subd. 1(e))
Repossession	Allowed after default
Owe the balance after the car is sold?	Yes, with conditions. Only if the credit extended exceeded $8,400 (from 1 July 2026; $8,100 before then); at or below that the borrower owes no deficiency unless they wrongfully damaged or withheld the vehicle (Minn. Stat. § 325G.22).
Lender license	Required (Minnesota Department of Commerce — industrial loan and thrift company (ch. 53) or regulated lender (ch. 56) licence (Minn. Stat. § 47.602, subd. 2(1)))
Statute	Minn. Stat. § 47.59, Minn. Stat. § 56.131, Sec. 47.602 MN Statutes; Minn. Stat. § 325G.22; Minn. Dept. of Commerce adjusted dollar amounts eff. 1 July 2026

Source: Minn. Stat. § 47.59, Minn. Stat. § 56.131, Sec. 47.602 MN Statutes; Minn. Stat. § 325G.22; Minn. Dept. of Commerce adjusted dollar amounts eff. 1 July 2026 (read the law). We last checked it against the statute on October 2, 2026. See title loan laws in every state.

What a title loan costs in Minnesota

Under Minnesota's rate rules, borrowing $1,000 for 12 months costs $187.62 in interest or fees, so you repay $1,187.62 (33% APR). Your offer may differ.

Example title loan costs in Minnesota
Loan	Term	Interest and fees	Total repaid	APR
$1,000	12 months	$187.62	$1,187.62	33%
$2,500	12 months	$386.38	$2,886.38	27.4%
$5,000	12 months	$650.37	$5,650.37	23.2%

Check whether the lender adds any fees: the written disclosure must show the full cost and the APR with every fee included.

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, whether the lender can collect more depends on Minnesota law. Only if the credit extended exceeded $8,400 (from 1 July 2026; $8,100 before then); at or below that the borrower owes no deficiency unless they wrongfully damaged or withheld the vehicle (Minn. Stat. § 325G.22).

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 Minnesota

Title lenders in Minnesota must be licensed (Minnesota Department of Commerce — industrial loan and thrift company (ch. 53) or regulated lender (ch. 56) licence (Minn. Stat. § 47.602, subd. 2(1))). Search for the lender on the official license lookup before you sign. Complaints go to the Minnesota Department of Commerce. Lenditup does not check lender licenses for you (see how we verify).

Looking for a loan in Minnesota?

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 Minnesota law.

Title loan questions for Minnesota

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

Greater of 21.75% APR, or 33% on the first $1,500 plus 19% above (Minn. Stat. § 47.59, subd. 3); title loans of $1,000 or less with more than 25% due within 60 days: 3% per month of the principal plus a storage/service fee (§§ 47.602, 325J.07). Your contract must show the APR before you sign.

02Can I roll over a title loan in Minnesota?

No statutory renewal limit in Minn. Stat. § 47.602; Chapter 56 lenders may grant extensions or deferments (§ 56.131, subd. 1(e)). Each renewal adds cost, so ask for the total you will repay.

03What happens if I can't repay a title loan in Minnesota?

04How do I check that a title lender is licensed in Minnesota?

05Is Lenditup a title lender in Minnesota?

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 Minnesota 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 Minnesota?