31-1-804. Licensure of title lenders . (1) It is unlawful for any person to act as a title lender unless the person has first been licensed by the department.
     (2) (a) All title loan agreements entered into by a person who acts in violation of the license requirements of this part and all title pledges accepted by the person are void.
     (b) Any borrower who enters into a title loan agreement with a person who acts in violation of the provisions of this part may not be bound by the terms of the title loan agreement, and the borrower's only liability is for the return of the principal sum borrowed plus interest at the rate set by statute for interest on judgments.

     History: En. Sec. 4, Ch. 455, L. 2001.