PROPERTY Pawnbrokers: Provide Comprehensive Legislation Regulating Loans on Motor Vehicle Titles

The Act makes extensive changes in the manner in which a pawnbroker may offer loans to individuals who pledge the title of their motor vehicle as security. The most significant provisions of the Act set new limits on the amount of interest which may be charged on a pawnbroker loan and require pawnbrokers to provide individuals seeking such loans with detailed disclosure settlements. The Act further revises the Georgia Code sections dealing with the leasing of motor vehicles pledged for loans, limitations on the duration of pawn transactions, the amount of storage fees which a pawnbroker may charge, the amount of repossession fees which a pawnbroker may charge for pledged motor vehicles, and the holding periods after such repossession. The Act also imposes certain advertising requirements on pawnbrokers and revises the Code sections concerning liens of pawnbrokers on property which is pledged to them in return for loans by providing a grace period related to the enforcement of such liens.