Does your car need a major repair? Or have you met with an accident? And you are running out of debt, but don’t have sufficient amount of money to tackle your problems. Being in debt is a stressful experience. When you are out of funds and get stuck into immediate financial needs, you may get more frustrated and look for different ways to get out of it. Don’t be stressed out because car title loans make it easy to understand that cash you need instantly within an hour despite your poor credit.
Most of us usually like to borrow money from our friends or relatives, but asking from them might not always be convenient. When you acquire a loan from banks or any financial company, one must have a good credit history. But with car title loans, your vehicle can be used to get cash through a secured loan.
Car Title Loans
Car Title Loan is a secured loan where the lender will use your car’s title as collateral and provide you with the loan amount based on the market value and condition of your vehicle. You get easy approval on these collateral loans.
Requirements You Have To Meet For Car Title Loan Approval:
If you want to get your loan approved, you need to have a fully-owned vehicle with a lien-free title. The lender will have a look at the condition of your car and check the paperwork. The lender will then keep the title to the vehicle and will place a lien on it.
Finally, you will be handed with the amount based on the condition of your car. The borrower must submit all the necessary documents that the lender requires. Some are listed below:
- Your original vehicle title
- A valid government-issued id.
- Residency proof
- Vehicle registration
- Proof of vehicle insurance
- Copies of the car’s keys
There Are Some Benefits To Applying For Car Title Loans Rather Than Other Bank Loans:
The best feature when you choose such type of funding is that they are convenient for the borrower as it is associated with the easy application process that can be filled online. You won’t have to go to the bank, and you can apply for a loan from the comfort of your home. When you opt for alternative sources of financing such as collateral loans, one positive side is that you don’t need to make continuous trips to the bank to discuss any clauses or terms of a loan.
Another factor when you apply for this loan from other private lenders is that that process is hassle-free. Borrowers aren’t required to go through lengthy processes and routine checks like they would have to when applying for a loan from a commercial bank. The borrower will still be allowed to use their car during the period of repayment.
Flexible Payment Options
Individuals who are approved for these types of alternative funding will be offered a variety of flexible repayment plans, and they don’t have to worry about meeting a deadline that is fixed at the cost of their comfort. Car title loans offer the most flexible options since they allow the borrowers to choose from plans based on how long they will take to repay the loan.
Available For Everyone
For many people who do not have a good credit score are not allowed to get approved for a loan from a traditional bank. The applicants usually have to go through a lengthy process of providing financial history, status and credit scores before they get approved for a loan. But when it comes to car title loans, you’ll need to fill out only a minimal amount of paperwork.
Takes Less Time
The vital benefit of applying for car title loans from private lenders is that the process takes much less time compared to that of banks. You can be approved for a loan in less than a few hours. This is why such loans make an excellent option that people can turn out for help in times of financial debt.
Your Credit Doesn’t Matter.
The loan approval depends on the value and the condition of your car. Also, your ability to repay it. So if you have poor credit or no credit at all, it doesn’t matter when you apply for this loan.
Keep Driving Your Car
Though your loan is based on your car, you are still allowed to keep your car and drive it while you’re paying off the loan.
To become debt-free in a short time, make smart borrowing decisions with car title loans as it comes with lowered interest rates and flexible terms and conditions.