In times when you are facing financial difficulty, you feel bewildered where to find the amount you need more so when you need instant cash. Getting a loan is the best option if you need money immediately. Getting a loan from the bank as well as other service organizations takes time, plus many requirements are needed. This makes getting title loan near me the last resort.
Also called auto title loans, these secured loan types allow borrowers to use a clear title of their vehicles as collateral. For title loans to be approved, borrowers allow a lender to place a lien on their car title and surrender temporarily surrender the title of the vehicle title, as loan collateral. After full payment of the loan, the car title is returned to its owner. If the borrower is unable to pay, then the lender can repossess the vehicle and sell it to recover borrowers’ debt. For a loan amounting to as little as $100, most title loan process can be done in 15 to 30 minutes or less. These short-term loans have higher interest rates than other credit sources. No credit checks are made on the history of borrowers for these loans and lenders consider only the value and condition of the vehicle used to secure it.
Laws and practices vary among states, title lenders do not check credit or require proof of income, However, they require that you owned the car outright. They provide loans worth 40% or less of the car’s value. Some lenders would keep the key of the borrowers or place a GPS tracker or install an electronic security device to facilitate repossession of the car. However, others allow owners to continue driving their cars. If the loan is not paid on the time required, lenders repossess and sell the car then require borrowers to pay for repossession and storage fee. If the car is purchased by a buyer for an amount more than the loan, some states do not require lenders to give the difference to the borrowers.
For many people, it’s the only option when facing a financial difficulty. What makes car title loans so appealing is the fact that they offer much more money than a payday cash advance company. Before applying for a car title loan be prepared so you will not encounter any difficulty. Having an idea of what you are getting into can be the best way to start your search. Life can get hard at times so, in the midst of financial hardship, a cash title loan can help you get back on your feet.