State rules

Utah auto loan rules

Utah has 255 Census places covered on AutoLoanable, with a combined estimated population of 3,204,467. Vehicle financing in Utah is governed by state law — the interest-rate caps, title-lending rules, sales-finance licensing and the regulator that oversees them. The sourced figures below apply to every car loan made to a borrower in the state.

By the AutoLoanable Editorial Team · Last updated 2026-09-17

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10% cap state usury cap
4.85% statewide state vehicle sales tax
Title lending requires… vehicle title loans
DFI state regulator

Key rules for car buyers in Utah

RuleDetailSource
Maximum legal interest rate (usury cap) No general cap — parties may agree to any rate; 10% per annum legal rate if no rate is specified (Utah Code § 15-1-1)
Source says: The parties to a lawful written, verbal, or implied contract may agree upon any rate of interest for the contract
Utah State Legislature
as of 2026-09-17
Vehicle title loan status Title lending requires registration with the Utah Department of Financial Institutions; the Title Lending Registration Act sets operational limits (one loan per vehicle, loan may not exceed fair market value, no rollovers unless requested) but sets no state interest-rate cap.
Source says: "It is unlawful for a person to extend a title loan in Utah or with a Utah resident unless the person: (i) registers with the department in accordance with this chapter; and (ii) maintains a valid registration." License category: Title lender registration (Utah Department of Financial Institutions).
Utah State Legislature — Utah Code § 7-24-201
as of 2026-09-17
Sales finance / installment lender licensing Consumer lenders under the Utah Consumer Credit Code (Title 70C) must file a Consumer Credit Notification via NMLS
Source says: Entities subject to the UCCC's notification requirement must file a Consumer Credit Notification (CCN) through the Nationwide Multistate Licensing System (NMLS). Motor-vehicle retail installment sales are separately governed by the Utah Consumer Credit Code (general consumer credit law; no separate motor-vehicle retail installment sales act) (Utah Code Title 70C (esp. §§ 70C-1-101 et seq.)).
Utah Department of Financial Institutions (DFI)
as of 2026-09-17
State lending regulator Utah Department of Financial Institutions (DFI)
Source says: The Department of Financial Institutions regulates 19 banks, 22 credit unions, 17 industrial banks and 1 trust company.
Utah Department of Financial Institutions (DFI)
as of 2026-09-17
Sales tax on vehicle purchases 4.85% combined state rate (4.70% state sales and use tax plus 0.15% state Medicaid expansion rate); local rates additional
Source says: "a state tax imposed on the transaction at a tax rate equal to the sum of: (A) 4.70%"
Utah State Legislature — Utah Code § 59-12-103 (rate administered by the Utah State Tax Commission)
as of 2026-09-17

How to use these rules

  1. Check the ceiling before you compare offers

    If a quoted APR looks extreme, compare it against the Utah cap above — and note that a specific statutory exemption can apply to a particular product.

  2. Verify the lender is licensed

    Use the regulator named in the table to confirm the lender or sales-finance company may legally serve borrowers in the state.

  3. Know what is secured against your car

    A vehicle title loan is secured by the car itself. If the state permits it, understand the repossession terms before you sign anything.

  4. Budget for tax and fees separately

    Sales tax and title fees are financed along with the car, so they raise the amount you borrow — and therefore the interest you pay on them.

Cities in Utah

We cover 255 Census places in Utah.

Frequently asked questions

What interest rate can a lender charge on a car loan in Utah?
It depends on the product and the statute that governs it. The sourced table on this page lists Utah's usury cap, its motor-vehicle sales-finance rules and the licensing requirements, each with its publisher and a link to the primary source.
Are title loans legal in Utah?
Vehicle title lending is regulated state by state; some states permit it under a licensed lender, some cap it, and some prohibit it outright. See the sourced figure on this page for the current position, and confirm it with the state regulator before you sign anything.
Do I need a license to finance a car in Utah?
Most consumer lenders and motor-vehicle sales-finance companies must be licensed by the state regulator named on this page. You can verify a lender's licence with that regulator before you sign anything.

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