Fort Worth

The Debt Trap: Texans taken for the trip by auto-title loans

By Yamil Berard

Editor’s note: One study demonstrates that the texan that is average about $40,000 with debt. Many of them dropped victim into the simple cash available through car name loans, and therefore number is increasing. In 2013, Texans paid up to $360 million in charges to car title companies — $53 million a lot more than in 2012. Your debt Trap is really a project that is collaborative the Star-Telegram, WFAA in addition to Austin American-Statesman targeted at shining a light on loans that either assist the economically disadvantaged or devastate them, dependent on who you ask. This installment explores car-title loans. Upcoming installments can look at reverse mortgages and student education loans.

FORT WORTH — Mary Dixon had been hours far from losing her 2007 silver Mercury Mountaineer on Feb. 6.

Dixon, 47, of Mansfield, had lent $2,994.95 on Dec. 2 to pay for family members crisis. By January, she had currently doled out a finance that is prepaid greater than $300. Now she owed a balloon that is final of $3,351.28 up to a title-loan storefront on East Lancaster Avenue.

She had lot of business. In Texas, almost 380,000 borrowers compensated since much as $360 million in costs alone to hand within the games for their vehicles for quick cash, 2013 state data reveal.

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