California Title Loans With Bad Credit

There are several different types of bad-credit loans available on the market, and each one carries its share of advantages and disadvantages. The three main bad-credit loan types include:

  1. Payday advances
  2. Unsecured personal loans
  3. Secured loans

Borrowers with bad credit can always expect to pay more in interest for any money they borrow, due to their history of late payments.

Types of Bad Credit Loans in California

Payday advances work only for short-term borrowers who can repay the debt in their next pay period. With payday advaces, a post-dated check is held by the lender for the borrowed amount plus a lending fee. The check is then deposited during the next pay period to cover the debt owed. Because the debt must be paid off immediately, these are only recommended for emergency use by those who have a steady income to rely on.

Unsecured personal loans for people with bad credit typically feature exorbitant interest rates, high fees and penalties and rigid terms, because they are very risky for the lender. Over the life of these agreements, the borrower often pays more in interest than was borrowed in the beginning.

Secured loans such as vehicle collateral loans offer borrowers with bad credit the opportunity to get cash fast with relatively low interest rates compared to unsecured credit. Because the vehicle title serves as collateral, the lender is not taking as large a risk and the borrower can get a better deal.

Those looking for a vehicle title loan in California should contact Wilshire Consumer Credit to find out whether they qualify. Flexible term options make this lender competitive.