What To Know About Vehicle Title Loans And Your Credit
Are you in urgent need of some cash? Perhaps you need to manage debt, deal with a medical emergency, pay an overdue bill, or rectify accident damages.
Vehicle title loans, also called "quick auto loans", can be one option for you to consider if you have a vehicle, and are in need of fast cash.
Here is all you need to know before you apply for vehicle title loans, including how important your credit is to get one.
Benefits Of Vehicle Title Loans
The following are a few of the many benefits of vehicle title loans:
1. Quick Cash
If you need cash immediately, a vehicle title loan is a great option. The fast application and repayment procedures allow borrowers to resolve their emergencies in the fastest possible manner.
2. You Can Continue Using Your Vehicle
If you follow the lender's terms, you may continue to use your vehicle. The lender uses only the vehicle's title as collateral for the loan and retains only a copy of the vehicle's documentation.
3. Freedom Of Use
There are no restrictions on what you can do with the money once you obtain the loan. This independence is a significant benefit, given that you cannot qualify for some loans without stating the loan's purpose.
4. All Vehicles Are Accepted
Lenders accept all kinds of vehicles, not just new or expensive ones, so long as they are in good condition. You may use your SUV, truck, motorcycle, or any other vehicle to secure the loan.
5. Easy To Qualify
It is fairly easy to qualify for a vehicle title loan. Without any excessive credit checks and an easy application process, you can get the cash in just a few minutes.
How Does A Vehicle Title Loan Work?
There are several distinct forms of vehicle title loans. Some are single-payment loans, which require the borrower to repay the complete loan amount within the same month or so. However, depending on the lender, vehicle title loans can be paid back over three or six months.
Title loans can either be obtained in-store or online. This is how they typically work.
First, you provide the lender with:
- Your application
- Your vehicle
- Vehicle title
- Photo identification showing that you are a US citizen
Some lenders also require an additional set of car keys or a roadside assistance plan. If the lender approves the loan, he provides you with the cash and retains the vehicle's title.
What Role Does Your Credit Play In Acquiring A Vehicle Title Loan?
So, what happens if your credit score is not remarkable or if you have no credit history at all? Well, good news! Most title lenders are not that concerned with your credit, which makes vehicle title loans so desirable.
When you obtain a car title loan, you obtain a secured loan in which you pledge your automobile as collateral. These loans differ from unsecured loans which require credit checks, and to obtain additional funds, you must have a strong credit score. In the case of a vehicle title loan, having good credit is not a necessity as all credit is welcome.
Since you are borrowing money against your vehicle, your credit is not the most important factor. As a result, it becomes a good option for persons with weak credit histories, as they cannot obtain funds from a bank.
Getting A Loan With Utah Title Loans
If you are considering a vehicle title loan, Utah Title Loans, Inc. is one example. Here you could get up to $15,000 in as little as half an hour.
You will be required to provide the following items:
- Driver’s License or State Issued I.D.
- Lien-Free Title to Your Vehicle
- Your Vehicle for Inspection
Process To Get A Title Loan:
The short and simple application and inspection process to get your loan from Utah Title Loans, Inc. is as follows:
- Fill out an online application
- Wait for a rep to get in touch with you
- Meet the representative at the location of your choice
- Let the loan representative examine your I.D. and have a look at your vehicle
- On approval, you will receive your money on the very same day or the next day
Benefits Of Utah Title Loans, Inc.
- You can continue using your vehicle during repayment
- You can apply for it even with poor credit
- They have stores all around and you can choose the store at your ease
A vehicle title loan can be one of the simplest and fastest options to get money, making it very attractive to use your vehicle to get yourself out of a financial bind. So, if you are stuck in a messy financial situation, take that turn!
Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.