HB 2587 Summary

• Prohibits secondary motor vehicle finance transactions (title loans) in Arizona by making them void and subject to enforcement as unlawful practices under consumer protection laws.

• Removes provisions from statute that previously governed secondary motor vehicle finance transaction rates, including tiered monthly finance rates ranging from 10-17 percent based on loan amount.

• Repeals section 44-293 entirely, which previously contained regulations for secondary motor vehicle finance transactions.

• Amends the regulatory sandbox statute to exclude secondary motor vehicle finance transactions from the list of financial products that sandbox participants can test.

• Updates language in retail installment contract requirements to clarify prohibitions on secondary motor vehicle finance transactions and modernizes statutory language throughout related sections.