Car title lenders are deathly afraid of anyone looking closely at what they are doing. That’s why they are fighting so hard to keep their reports to the Virginia Bureau of Financial Institutions secret. Who can blame them? The limited statistics released to the public reveal that Virginia car title loans are a growing disaster: Lenders report that 32% of the loans are at least 60 days behind (compare that to car purchase loans: 0.48 % ). Maybe the car title lenders don’t want people looking closely at the enormous amount of cars they are repossessing: 13% of Virginia car title loans are ending in repossession compared to 0.62% of other car loans
Fear of public scrutiny is also what likely caused car title loan lobbyists to kill legislation before the Virginia General Assembly that would have allowed the public to see the reports they submit each year to the Bureau of Financial Institutions.