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State rules

Oregon auto loan rules

Oregon has 240 Census places covered on AutoLoanable, with a combined estimated population of 2,996,209. Vehicle financing in Oregon 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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9% cap state usury cap
No state sales tax Sales tax on vehicle purchases
Permitted vehicle title loans
Oregon Division of Financial… state regulator

Key rules for car buyers in Oregon

RuleDetailSource
Maximum legal interest rate (usury cap) 9% per annum default legal rate where the parties have not agreed to a rate.
Source says: "The rate of interest for the following transactions, if the parties have not otherwise agreed to a rate of interest, is nine percent per annum" (ORS 82.010(1)).		 Oregon Legislative Assembly (Oregon Revised Statutes)
as of 2026-09-17
Vehicle title loan status Title loans are permitted for lenders licensed under the Oregon Consumer Finance Act; finance charges are capped at the greater of 36% APR or 30 percentage points over the discount window primary credit rate.
Source says: "a finance charge that, when expressed as an annual percentage rate, does not exceed the greater of: (A) 36 percent; or (B) 30 percentage points in excess of the discount window primary credit rate" License category: Consumer finance license (payday and title lenders) — Oregon Division of Financial Regulation.		 Oregon Legislative Assembly — ORS § 725.340
as of 2026-09-17
Sales finance / installment lender licensing Consumer finance license required to make consumer finance loans of $50,000 or less; license issued by the Director of the Department of Consumer and Business Services.
Source says: "a consumer finance loan of $50,000 or less... unless the person first obtains a license under this chapter" (ORS 725.045). Motor-vehicle retail installment sales are separately governed by the Oregon Retail Installment Contracts — Motor Vehicles; Mobile Homes (ORS 83.510 to 83.680 (within ORS ch. 83)).		 Oregon Legislative Assembly (Oregon Revised Statutes)
as of 2026-09-17
State lending regulator Oregon Division of Financial Regulation (Department of Consumer and Business Services)
Source says: "Protecting Oregonians' access to fair products and services through education, regulation, and consumer assistance."		 Oregon Division of Financial Regulation
as of 2026-09-17
Sales tax on vehicle purchases No state sales tax
Source says: "Oregon doesn't have a general sales or use/transaction tax."		 Oregon Department of Revenue — Sales Tax in Oregon
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 Oregon 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 Oregon

We cover 240 Census places in Oregon.

Frequently asked questions

What interest rate can a lender charge on a car loan in Oregon?
It depends on the product and the statute that governs it. The sourced table on this page lists Oregon'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 Oregon?
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 Oregon?
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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