Registration loans are an alternative lending option available to borrowers within Arizona. To obtain a registration loan, a borrower will typically need these documents:
- A Social Security Card
- Proof of Income or Alternative Income
- Vehicle Registration
- A Valid Driver’s License in Arizona
Often, the vehicle will need to be registered in Arizona to apply for a registration loan. A loan provider may ask for additional documents, but you can expect to need those during the application process. Registration loans can be easy to apply for, but they do have some drawbacks.
While you may just be asking the question- “what documents do I need for a registration loan”? – one of the questions you may not have thought of is, “are there better loan options besides a registration loan?”
Registration loans are an easy way to get cash with your car, but they require a checking account to apply. If that is holding you back from getting the cash you need, a title loan is another option that can allow you to use your car to get financial help!
What is a Car Title Loan and is it Different from a Registration Loan?
Car title loans and registration loans are both alternative forms of funding that involve a borrower’s car, but in different ways. Both loans can cater to borrowers that do not have a strong credit history and can be applied for online. If you don’t have a perfect credit score, don’t sweat it. Both options offer lenient credit requirements during the approval process.
A registration loan is only available in a few select states. It allows a borrower to use a vehicle’s registration to obtain cash, but at a price of high interest. Registration loans are not secured through collateral, so this loan is a higher risk for lenders. The interest rates for any type of loan always reflect the risk to lend, so the interest rates for an unsecured loan are usually higher.
Title loans in comparison are secured loans that use a borrower’s title as collateral for the loan. Unlike registration loans, they can generally offer higher lending limits. If approved for a title loan, a borrower could receive anywhere between 25%-75% of their vehicle’s value. In comparison, the average registration loan is only $400, but they can be anywhere between $200- $4,000.
Title loans can often offer more competitive interest rates, since the collateral will minimize the risk to lend to a borrower that is without a strong credit history or is less than a desirable candidate for a loan. With a title loan, a borrower is using their vehicle’s title instead of their credit to obtain the emergency cash they need.
Title loans do not require a checking account to apply either! With options like ChoiceCash Title Loans, there are many different ways to collect your cash and to repay your loan that do not include one as a requirement.
What Documents Do I Need for a Registration Loan vs. a Car Title Loan?
A registration loan does not require a ton of documentation, but they do require some. Typically, you can expect to need some proof of income as well as your vehicle registration, license, and Social Security card in some cases.
You might have started off your day by searching for things like: “what documents do I need for a registration loan?” and now you may be considering other alternative options for cash!
While you may be leaning towards a title loan for the cash you need, they do require some documents to be submitted during the approval process as well. Title loan agents will use these documents to help verify your information and speed the approval process along!
You can expect to need:
- Bank Statements, Pay Stubs, or Another Document to Prove Income
- Recent Mail like a Utility Bill to Prove Your Address
- Driver’s License, Passport, or Another Government-Issued ID
- Car Title in Your Name
- Recent Photos of the Car
With loan options like ChoiceCash Title Loans, these documents can be submitted online via email or fax for your convenience!
What are the Benefits of a Car Title Loan?
Title loans can offer you more than just competitive interest rates and cash. Loan options like ChoiceCash Title Loans is known to offer borrowers many different benefits to take advantage of, including:1
- Faster Cash: Approved borrowers through ChoiceCash Title Loans can get their cash in as little as one business day!1
- Payments Start Low, and Can Get Lower2: ChoiceCash Title Loan borrowers have the opportunity to earn lower monthly payments and interest rates by simply repaying their loan on-time and consistently!2
- Keep Driving: Although you will be using your vehicle’s title to claim cash, you can keep your normal driving habits if you make your payments on time as a responsible borrower.
How Much Cash Can I Get Through a Car Title Loan?
The amount of cash you can receive through a title loan has a lot to do with the eligibility requirements for a title loan. Instead of focusing just on a borrower’s credit history for loan eligibility, a title loan agent will look at:
- The Value of the Collateral
- The Borrower’s Income
These two factors will determine if a borrower is eligible for a loan, and it will also determine the borrower’s loan amount! It is entirely dependent on how much equity a borrower has in their vehicle being used as collateral and how much monthly income they have. The more income and the more equity, the higher the loan amount could be for a borrower.1 If you aren’t sure what your vehicle’s equity is, don’t worry! ChoiceCash Title Loans has an online title loan calculator that can be used to determine what your car is valued at. Simply input a few details about your vehicle to receive a free title loan quote today.1
What Can I Use My Title Loan Funding for?
Financial emergencies can come and go unexpectedly. You may want to know what you are able to use your cash for if you have a specific purchase or expense in mind that you need covered! While every borrower has a unique financial situation, some of the most common ways title loan funds are used are:
- Covering Wedding or Funeral Expenses
- Travel Costs
- Debt Consolidation
- Paying for Medical Bills or Surgery Costs
- Veterinarian Costs
- Home Maintenance or Renovations
- Car Repairs
Where Can I Apply for a Car Title Loan Online?
Get your documents ready and get the cash you need today!1
Ready to see if your vehicle will qualify for funding? Check out your loan options today through ChoiceCash Title Loans when you fill out a short inquiry form online to get started. Or give a loan agent a toll-free call today at 855-914-2945. You could get your cash in as little as 24 hours!1