Even financially secure families may get caught in financial emergencies. Prolonged illness, loss of a job or some other unforeseen event may induce you to search for quick financing choices. If you are trying to obtain a short-term loan to finish your financial emergencies, you might have heard of these advertisements associated with auto title loans:
- Get Cash for your Car!
- Get Quick Cash!
- No Credit Check required!
Auto title loans are Prevalent in a number of American states. It is a favorite with borrowers since the loan program is simple to acquire. You might have heard about it from your neighbors or friends. If you are interested in getting the loan application, you must only join the club after understanding it completely.
What is an Auto Title Loan?
According to Investopedia, it is a short-term loan where the debtor’s car title is used as collateral. To obtain the loan Program, you will have to permit the lender to put a lien on your vehicle title. Additionally, you will need to concede the original name to the creditor.
What Is the Difference between an Auto Title Loan and a Car Pawn Loan?
An auto title loan lets you receive cash and finish your financial emergencies by pledging your car as collateral. The lender will need the name of your vehicle and not take ownership of your vehicle. But if you obtain a car pawn loan by a lender, you will need to surrender your car in addition to the title of your vehicle.
What Are the Prerequisites for getting a Car Title Loan?
If you want to obtain the loan application, you need to meet the following requirements:
- You should be at least 18 years old.
- You must have the Original title of your vehicle.
- There should be no Lien on the vehicle.
- The car should not be older than 15 years.
What Records are required for getting a Car Title Loan?
Following is the list of documents which are needed for receiving the loan application:
- Identification Proof
- Age Proof
- Income Proof
- Original Title of Your Automobile indicating No Liens
- Utility Bills
- Vehicle Registration and Insurance
Like any other Loan program, you need to submit an application form to the creditor. The lender will consider your financial situation and examine the value of your vehicle. Do not worry if you have got terrible credit history. If your vehicle is valuable and you have a steady revenue source, the lender will approve your loan program. Obtaining an auto Title Loans is easier than you think! In case you have possession of a vehicle, you can use it to escape your financial troubles. Really, your car is your treasure-house. Use it.