Title cash loans, also known as title loans or car title loans, are secured loans that allow borrowers to use the title to their vehicle as collateral. If you are approved for a title cash loan, you can continue to drive your vehicle while you make payments. However, the lender will put a lien on your vehicle until you completely repay your loan.
Title loans are typically processed quickly, so they are ideal for borrowers who need cash now. But these loans aren’t right for everyone. Find out if a title cash loan is right for you by asking yourself these questions:
How Much Do I Need to Borrow?
The first question you should ask yourself is how much you want to borrow. Loan amounts vary on a case-by-case basis.
However, the amount you are approved to borrow through a title loan will depend on several factors, including the value of your vehicle and your ability to repay the loan. You cannot borrow more than your vehicle is worth. Your lender will calculate the value of your vehicle by evaluating its make, model, year, condition, trim level, and mileage.
Keep this in mind when deciding if you should apply for a title loan. If you need to borrow more than a title loan can provide, this is not the right option for you.
Does My Vehicle Qualify for A Title Cash Loan?
You cannot get approved for a title loan unless your vehicle meets certain requirements. These requirements are different for every lender, but in general, cars that qualify are less than 10 years old with low mileage. Older vehicles can also qualify for title loans, too. In fact, just about any vehicle can qualify, but the more your vehicle is worth, the more you will be able to borrow.
It’s important to note that you cannot use a salvage title as collateral for a title loan. If your vehicle has a salvage title, it will not qualify.
Furthermore, your name must be on the title to your vehicle. It doesn’t have to be the only name on the title, but it must be included.
Vehicle approval is determined on a case-by-case basis, so you should talk to your lender to find out if your vehicle qualifies. Be prepared to answer a few questions about your vehicle, including its make, model, mileage, and year. It only takes a few minutes for your lender to run this information through their system to find out if your vehicle qualifies.
Do I Have Equity in My Vehicle?
You must have equity in your vehicle in order to qualify for a title loan. Equity is defined as the difference between your vehicle’s current resale value and the amount you still owe on it.
For example, say your car is worth $8,000 and you still owe $3,000 on your auto loan. This means you have $5,000 in equity. But if your vehicle is worth $8,000 and you still owe $10,000 on your auto loan, this means you don’t have equity so you will not qualify for a title loan.
You will not be approved to borrow more than the value of your vehicle. In fact, most lenders only allow you to borrow up to a certain percentage of your car’s value. This is why calculating how much equity you have in your vehicle is an important step in determining whether a title loan is right for you.
Do I Have the Necessary Documentation?
All title lenders will ask you to submit documentation when you apply for a title loan. The documentation you will need to submit may vary slightly from lender-to-lender. But in general, title lenders require:
- The title to your vehicle
- Proof of income such as pay stubs, bank statements, or recent tax returns
- Proof of residence such as an ID card, utility bills, or a lease agreement
- Driver’s license
- Proof of insurance on the vehicle you are using as collateral
You typically can’t apply for a title loan without these important documents. If you can’t find the title to your vehicle, ask your loan officer for assistance. You may still get approved for a title loan even if you have misplaced the title to your vehicle.
Can I Repay A Title Cash Loan?
It’s not wise to take out any type of loan, including a title loan, if you don’t think you will be able to repay it. Before submitting an application, review your finances to determine if you can afford to make a title loan payment regularly. You should also figure out how much you can comfortably pay on a regular basis so you don’t borrow more than you can afford.
Your title lender will ask to see your pay stubs, tax returns, or bank statements during the application process. This allows the title lender to confirm that you have a reliable source of income.
Your income does not need to come from a job to get approved for a title loan. If you are unemployed, you may get approved by verifying another source of income, such as disability benefits, veterans’ benefits, or workers’ compensation.
How Quickly Do I Need the Cash?
Ask yourself how soon you need cash to determine if a title loan is a good option for you. Title loans are usually processed quickly, so they may be a good choice if you need cash now.
You could have access to your cash shortly after your application has been approved. To avoid unnecessary delays, make sure you submit all of the required documentation as soon as possible.
Work closely with your loan officer to ensure you understand what needs to be submitted and how to submit it. The sooner these documents are submitted, the sooner your application can be processed and possibly approved.
Am I Ready to Apply for A Title Cash Loan?
Now you have the information you need to determine if a title cash loan is right for you. If you are ready to apply for fast cash loans, follow these simple steps:
- Call 855-713-6522 or fill out the form on our website to initiate the title loan application process. If you submit your information online, one of our loan officers will contact you shortly to discuss the next steps.
- Learn more about the terms of your loan. Your loan officer will tell if you are approved for a title loan and if so, the terms of your loan. Feel free to ask your loan officer questions to ensure you understand your responsibilities under the loan agreement.
- Finalize your loan. If you are satisfied with the terms of your loan, your loan officer will ask you to submit the required documentation. You can submit your documents via email, fax, or text message photos. You will also need to sign documents to finalize the agreement.
- Collect your cash. You can either pick up your cash in person or have it sent to you via check or wire transfer. It’s your choice!
That’s all it takes to apply for a title loan, get approved, and get the cash you need as quickly as possible.