Let’s face it: not all of us have pristine credit. If you have made some financial missteps in the past—or if you just need a decent chunk of change fast—there is hope. Vehicle pawn title loans can help. Here are three frequently asked questions that can help you understand what car title loans are and how they can get you what you need financially with minimal effort or risk.
1. What are automobile title loans?
Automobile title loans are essentially a kind of loan where you put up collateral—something of value—in exchange for a sum of money. You are required to pay this money back, and if you do so regularly, within the pre-determined time schedule, you will get the collateral item back. You can use many things for collateral, but with an automobile title loan, it is always a car.
You can be issued an automobile title loan (also known as title pawn loans, a car title loans, pink slip loans, etc) for up to half the value of your vehicle in the wholesale market. So, if your car is worth $20,000 wholesale, you can take out a loan for up to $10,000.
You must pay back the majority of car collateral loans within 36 months, or three years.
2. How do I know if I qualify?
Before applying for these sorts of loans, you can ask yourself some preliminary questions to get a vague idea of whether or not you will qualify for them. One question to ask is, “Do I have a steady source of income?” If you do and can prove it with some sort of documentation, you stand a good chance of getting the loan. This is necessary to reassure the loan company that you are able to repay the loan.
Another question to ask is, “Approximately how much is my car worth?” Your car must be worth at least $4,000 to qualify. You can find the value out by using Internet searches for car value, inputting the make and model of your car, as well as the condition it’s in.
3. How do I get my loan?
Once you have determined that this sort of loan is doable for you and that you stand a great chance of being able to pay it back (based on the aforementioned questions), you can apply. Many collateral loan companies let you apply right online via their websites. Input your personal information as well as the make, model, year and mileage of your car, and then submit it.
You should get a decision back from the company within minutes about whether you are approved. If you qualify, the money could be on its way to you within an hour or so.
When Juanita writes, she writes about lots of things. One of her favorite things to write about is finances. If you would like more info regarding automobile title loans, please visit http://www.tfciloan.com/