Automobile Title Loans Explained
If you are facing financial difficulties, you may be considering a car title loan. This type of loan can help you meet your financial obligation by paying off some of your debt and consolidating them into one loan. The loan can also be used to pay your bills in advance, which will allow you time to deal with your financial difficulties. Car title loans offer several benefits that are not available with other types of financing.
If you do not have a great credit history, an auto title loan may be the best option. Typically, these types of loans do not require credit evaluations during the loan process. If you have an automobile with a clean title, you will probably get approved. The automobile will be used as collateral for the loan, which means no credit check is necessary. Other types of loans are only secured by a signature and require a good credit rating. The lender must check out your credit to determine if you are a worthy candidate and will repay the loan. An auto title loan allows the lender to repossess the vehicle if the borrower does not repay their loan.
The loan process for car title loans is quick and easy. If you try to borrow money from a financial institution like a bank or credit union, they will require a thorough application process that includes employment checks, credit checks, etc. Making these verifications take time, which means you will have to wait to find out if you are approved and when you will receive your money.
A car title loan can be completed online. Auto title loan companies allow you to visit a local branch or fill out an application online. The application process is quick and only takes a few minutes. Applicants are required to show up-to-date identification like an unexpired driver's license and have a free and clear title in their possession. The loan officer will value the automobile through their assessment program. Once this is completed, the loan documents will be completed and money will be disbursed to the borrower. The loan application and approval process typically take about an hour. These companies process and complete many title loans daily, which means they are experts at getting their money quickly.
In order to qualify for this type of loan, the borrower must own their vehicle free and clear and have their title. A free and clear title means that there are no outstanding liens on the car or truck. In order to qualify, the applicant must be at least 18 years old and the vehicle needs to be less than 10 years old.
