Is there a limit to how much interest lenders can charge people for car loans?

I've heard from friends and family who have gotten burned by high interest rates. Is there a limit on interest rates for car loans?

Answer
Yes, there are laws that prevent lenders from charging over a certain percentage. The laws do vary from state to state, but most of the time this cap is around 16%.
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Johnny Puckett
Answered on Mar 08, 2021
Johnny Puckett is a freelance writer and automotive expert. He has contributed content to a number of some of the largest online publications, aftermarket automotive manufacturers’ sites, and automotive informational sites. His experience in the automotive and information fields informs his writing at Jerry. His automotive interests bleed into his free time, where he enjoys modifying his favorite cars and woodworking.
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