During your search for a car title loan, one of the questions that may have come across your mind is: do I need both title and registration for a car title loan? This is a valid question that a lot of potential borrowers have, and ChoiceCash Title Loans created a helpful and quick video to answer it.
A vehicle’s title in the borrower’s name is always needed in order to secure the loan. Why? The title is your proof of ownership, which makes it legally yours to use as collateral for a loan. Your registration for your vehicle, however, is not as critical in the loan approval process. While your vehicle registration is important for a loan, it does not determine the value or eligibility of the loan the way that your car title does.
How Does a Car Title Loan Work?
If you aren’t already familiar with the ins and outs of a car title loan, they can seem like a complicated process. However, they work in a simple way. Title loans may allow you to borrow off of the equity in your car by using your title as collateral.1 Your funding amount will be based off a percentage of the collateral, which is anywhere from 25%-75% of its value. This means your collateral is the most important part of the loan, as it will determine whether or not you are eligible for a car title loan.
Title loans are popular because collateral allows them to be more flexible in terms of loan approval, and were made to streamline the approval process to get people fast cash for emergencies.1 Even those with poor credit history can potentially receive approval for an alternative funding option like a title loan through ChoiceCash Title Loans.
What Role Does My Title and Registration Play in Car Title Loan Approval?
The approval process for a title loan can be much more flexible if you have proof of registration for your vehicle. A title loan can be approved without registration, or if your registration is in a different state. If you have any issues with your title or with your registration, choosing a loan option like ChoiceCash Title Loans means access to loan representatives that can help you find the best option for loan approval.1
What Other Requirements Will I Need to Qualify for a Title Loan Besides My Car Title?
While your car title is collateral for the loan and the most important part of your eligibility, there are a few other requirements for a car title loan that should be initially met. Borrowers in all states will need to have these qualifications met ahead of time:
- Borrowers Must Be at Least 18 Years of Age
- Borrowers Must Have a Title in Their Own Name
- Borrowers Must Be Able to Provide Proof of Income or Alternative Income
What are the Benefits of Choosing a Car Title Loan for Funding?
While many different types of alternative funding exist, a title loan can offer many borrowers benefits other than funding. If you have a paid off or almost paid off vehicle, a title loan can be the right financial tool to give you access to these advantages:
- A Faster Way to Get Cash: A title loan like a ChoiceCash Title Loan will streamline the approval process. Placing a loan inquiry can take just minutes, and qualified borrowers can get their cash in as little as one business day!1
- Competitive Interest Rates: Interest can make or break your loan, and high interest can make your monthly payments unaffordable. With loan options like ChoiceCash Title Loans, eligible borrowers have access to the most competitive interest rates.
- Better Loan Terms: While other types of alternative funding can often be for short term loans, a ChoiceCash Title Loan is a different story.
- Keep Driving: Even though you are using the title of your vehicle to secure the loan, that doesn’t necessarily mean giving up the comfort of driving your own car! Responsible borrowers that make on time payments through ChoiceCash Title Loans can keep driving their vehicle as they normally do.
Getting Started on a Car Title Loan
While the process to start a car title loan can seem intimidating, choosing ChoiceCash Title Loans means choosing an easy, hassle free approval process.1 Borrowers can choose to get started in a few different ways:
- Go Online: With a prequalification form that will place a loan inquiry, this can take borrowers just a few minutes to complete, and help them get to the next step.
- Call a ChoiceCash Loan Representative: With quality customer service, you’ll be able to call a loan representative directly through the toll-free number at 1(855)277-4847.