A title loan or also known as a car title loan is a short-term loan of an amount of money determined by the resale value of the vehicle. They are a quick and painless way to get a loan in an emergency. Need cash fast and don’t want to go to the pawnshop? Then a title loan may be the right choice.
A title loan is a secured loan, in other words, the borrower receives a pre-determined amount of money in the form of a loan, and the car title is held by the loan company until the loan is paid in full. In most cases, all that is needed besides a clean title on the vehicle will be a means of paying back the loan, a regular source of verifiable income. The loaner possesses the car title for the time being, while the borrower can keep and use the car and receive an amount of cash for whatever the needs may be. The best part of the deal is that the possession of the car remains with the borrower, allowing them not to have to suffer the additional inconvenience of being carless. The borrower can leave the loaner’s establishment with both the vehicle and a handful of cash.
Besides proof of employment, the clean title for the vehicle, and a driver’s licenses, no other checks usually need to be made. This type of loan does not need to do a credit check. No credit or bad credit is not an obstacle to receiving a title loan. Borrowing money from others can and usually is a long and drawn-out process. This is preventable with a title loan because the process is much faster than a standard loan. Credit ratings are not a determining factor and will not eliminate the possibility of approval for the loan.
The benefits of doing a title loan if strapped for cash, are numerous. They are quick, in most cases an hour or two, instead of waiting for a banker to decide which could take days or even weeks. The loans can be small, and the maximum amount available is determined by the value of the vehicle involved. Title loans are a great way to get a small amount of cash to help the borrower get over whatever circumstances they may be in right now. Good credit is not a requirement.
A title loan may be the right choice if the minimum criteria are met. What better way to keep that debt collector at bay? They are quick, easy, and designed to meet the borrower’s needs with as little hassle as possible. There is no commitment when inquiring about how this is the right choice.