Also, there is no limit as to how long the customer can keep the pawn open. As an example, if you pawn your title for $500, as long as you pay the accrued interest each month (usually $65 or so), you can keep that pawn open in perpetuity. Paying the minimum does NOT, however, pay anything toward the principle – and the payments will remain at $65 (or so) every month. Employees do encourage their customers to pay more than the minimum so that they can reduce the principle and get thier title back (hence, the commercial!). This builds repeat customers and leads the customers to refer other customers to the business.

Also, TitleMax HATES to repossess vehicles, as the repo and sale charges cut into profits. They would MUCH rather deal with the customers (even slow-paying ones) than repo a vehicle. Their repo rate is WELL below the industry standard – in the low single-digits of percentages.

For folks that can’t get credit from other lenders (banks, credit unions, etc), TitleMax is a better deal than other title pawn brokers that charge rates that usually double those of this company.

I won’t comment, however, on the crappy jingle used in the commercial…