If you’re in a financial bind, one of the financial tools that may be available to you is an alternative loan like a title loan. Whether the funding is for rent or a big purchase coming up, a title loan can be the solution to your financial woes.
One of the potential problems when it comes to choosing a title loan is how many options are available. Choosing the right one can seem challenging, especially if you need a certain amount. However, finding the right loan through resources like ChoiceCash Title Loans serviced by LoanMart may be much easier than you think!
To understand how much funding a borrower may be able to receive through a title loan, it is important to understand how they work. Title loans, otherwise known as auto equity loans or pink slip loans, work by using the title of your vehicle as collateral for the loan. This means you are borrowing off the equity in the car, and that your vehicle is the security for the lender. They are meant to be single or multiple installment loans.
Choosing a secured loan can mean many different benefits and can potentially increase your ability to receive more funding if your car has a considerable amount of equity. Additionally, the process to get a title loan can be much more flexible than other types of traditional loans. This is due to using collateral, as the security it offers a lender can allow them to be much more lenient in the approval process.
Your eligibility for a title loan will depend on your collateral, and so will your potential funding amount. Typically, a title loan funding amount is anywhere between 25% and 75% of your car’s market resell value. Therefore, if your car has a higher resale value, it is possible to get higher funding amounts. While loans like personal loans might only offer a certain amount based on your credit report, title loans can offer funding based upon:
Since most borrowers aren’t aware of their car’s resale value, there are some helpful resources online that can give them a better idea:
In order to qualify for a loan, your car must have a certain amount of equity. If a title loan seems like the right resource for you, it can be beneficial to find out how much funding you can receive ahead of time. For example, if your car is worth $5,000, you would potentially be able to secure a loan up to $2,500 through the right lender with your vehicle1. An estimate of your vehicle’s equity can give you more of an idea of the funding amount you can potentially receive from a tile loan.
Besides accessible funding, there are many additional benefits that come with choosing a title loan as a financial resource. Since title loans are secured through collateral, they can offer a borrower additional advantages that are good for their wallet and loan experience. Some of the most beneficial aspects of a title loan are:
When searching around for the right loan, you might have come across some risks that come with title loans. However, these are risks that can happen with any loan! Some of these can be avoided completely through being a responsible borrower. These risks include:
While traditional loans can be a hassle to qualify for, title loans can be the opposite. Qualifying for a title loan simply means meeting a few requirements and reaching eligibility. While a loan representative will take care of the more detailed eligibility requirements, the initial ones are:
With these easy requirements met, it’s clear why borrowers are choosing this financial tool for fast cash.
Applying for a title loan can be just as easy as qualifying for it. With loan options like ChoiceCash Title Loans serviced by LoanMart, the approval process can be broken down into three simple steps for your convenience:
If you can get your cash in one business day, is there any reason to wait?1 Get started on your loan today by these two quick methods:
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Call our toll-free hotline and speak with a dedicated Title Loan specialist!