Is it Possible to Get Two Title Loans?

Say you need emergency funds for medical bills or unexpected travel. You don’t qualify for a traditional bank loan, but you have the requisite income and a car in your name for a title loan. However, you need more cash than a single auto title loan can provide. Is it possible to get two title loans? With ChoiceCash, the answer is yes – under certain circumstances.¹ However, before pursuing such a strategy, it is important to understand the conditions, risks and financial implications of doubling up on auto title loans.

What Are Title Loans and How Do They Work?

A car title loan uses your vehicle, titled in your name, as collateral. The lender places a lien on your vehicle’s title after funding the loan and lifts it once you pay the loan off. To qualify, you must own a car that’s worth enough to justify a title loan and prove you have a consistent income.¹ You keep ownership of your car throughout the loan term and can continue driving it. However, failing to make loan payments as agreed may result in the lender selling your vehicle to recover the balance.

What Do Borrowers Use Title Loans For?

You can use a car collateral loan for any personal or household expense – it’s up to you. Having said that, borrowers commonly use them for unexpected costs such as medical bills, veterinary procedures, funerals and legal fees. Some people even use them to cover rent shortfalls.

What Are the Benefits and Risks of Choicecash Title Loans?

One great benefit of ChoiceCash title loans is the potential for lower monthly payments over time. That’s because as your loan progresses, your interest rate – already competitive – may decrease, if you pay on time, every time.²

We also offer flexible loan approvals – even with bad credit or past blemishes such as a bankruptcies or credit card charge-offs. We do review your credit, but we won’t make it a focus. We’re more interested in your ability to make timely payments.¹

What’s more, we keep everything simple, clear and straightforward. You can borrow with confidence knowing you’ll never face prepayment penalties or balloon payments. We also offer multiple ways for you to receive your funds, and make your loan payments, including options that don’t require bank accounts.

Borrowers can often complete a ChoiceCash application online in about five minutes. Approvals often take less than an hour. And, your cash can typically be ready in just one day – even sooner at times.¹

Of course, there are some potential drawbacks to taking out a car equity loan. Possible risks include damage to your credit if you don’t make timely payments, as well as encountering ever increasing interest and fees if you repeatedly extend your car title loan. And again, your car may be sold to recover an outstanding balance if you default on the loan.¹

Can You Have Two Title Loans on the Same Vehicle?

The general rule of thumb is you are only allowed one auto title loan against one vehicle at a time, and that’s true for ChoiceCash. But what happens when one loan won’t cover your financial problem? The number of title loans you are permitted to have simultaneously may depend on factors such as the lender’s policies, your income and the state in which you reside. For example, it’s illegal in Illinois to have more than one title loan at a time. There, even if you have multiple cars that qualify as loan collateral, you aren’t allowed to take out a second car equity loan until you’ve paid off the first one.

What Are the Requirements for Getting a Second Title Loan?

While it may be possible to get multiple title loans, you must meet the same requirements for each one.¹ These include being at least 18 years old and possessing the required documentation such as proof of residence, a valid government-issued ID. and photos of the car’s exterior, interior, VIN and odometer reading. You’ll also need to show evidence of steady income in an amount that will support the monthly payments on the loans. This can be pay stubs or bank statements. If you’re using two vehicles in your name that have sufficient value, you will also need to present two titles.

Does Choicecash Allow Two Title Loans?

Yes, you can apply for a second title loan. However, such a loan must be for a different vehicle than the one you’re currently using for an auto title loan. If you want to use the same car for a title loan, you must pay off the first loan. Understand, though, vehicles depreciate, so you may not be able to secure the same amount of cash you initially received.

Either way, the process for borrowing against your car remains simple.

• Submit a short online form, or call 855-422-7402 to apply¹
• Once approved, supply the documents outlined above¹
• Sign the approved loan agreement and deliver your vehicle’s title
• Receive or pick up the funds

Depending on your state of residence, some forms for your Department of Motor Vehicles or equivalent government agency may also be needed, so that the title lender can place the lien on your vehicle’s title.

Where to Get Second Title Loans

Depending on your state of residence, you may be able to have more than one auto title loan on the same car, through what is known as a second lien title loan. This requires permission from your first lender to permit another lender to add a lien to the car’s title. However, while it is possible to do, finding a lender who will agree to this can be difficult, and ChoiceCash does not offer second lien car title loans

Potential Consequences of Having Multiple Title Loans

Managing two loans simultaneously can put a heavy financial strain on you, so think carefully before applying for multiple title loans. If you take out two loans and default on both of them, your lender could ultimately sell both of your vehicles to pay off your loan balances. If the title lender you choose reports loan payments to a major credit bureau, failing to make on-time payments on multiple loans can also further degrade your credit standing.

Tips for Managing Multiple Title Loans

If you choose to have multiple loans simultaneously, there are some moves you can make to keep them paid up to date. For instance, you can set up automatic payments and create reminders on your smartphone. It is also a good idea to aim to pay off the loan with the highest interest first, as this can save you money on interest charges.

Still, you should think very carefully before trying to manage two title loans simultaneously. You must be absolutely certain you can comfortably manage both monthly payments. Otherwise, you could land in even more financial trouble if things go sideways. It may be better to wait to take out another ChoiceCash loan after you’ve paid off the first one if you need more cash

With that said, carefully managed car title loans can help you get through multiple financial emergencies. If you’re sure you can make it work, apply today to see how a second Choice Cash title loan can help you!