Title loans are popular across the nation for being a flexible alternative financial resource. While most title loans can be found online and in-person, there are a few documents you will need to have on hand to verify your information.
Some loan options are a hassle to apply for and can take up too much of your time, but a title loan can provide borrowers with a flexible opportunity for cash! Loan options like ChoiceCash Title Loans have streamlined the approval process and changed what is required for title loans.
Applying for the cash you need in a financial emergency can be easy and convenient with the right loan option!1
How Do Title Loans Work?
A car title loan is a secured loan that uses the borrower’s car as collateral against the loan amount. Car title loans are most known as an alternative loan option that can help borrowers who do not meet the requirements for unsecured loans.
Car title loans are secured through collateral, and the collateral will assume the risk to lend to a borrower without a strong credit history. Many borrowers that qualify for a car title loan struggle to qualify for unsecured loans and find a lot of financial relief through a secured loan.
Loan eligibility will depend on a few requirements, but the biggest factors are:
- The Borrower’s Income and Ability to Repay the Loan
- The Value of the Car
With a title loan, a borrower’s credit history is not the focus of the approval process. Instead, the borrower’s income and vehicle equity will determine their eligibility and their loan amount. This is a common characteristic of secured loans, and it can help borrowers with a lower credit history to receive larger funding amounts!
How Can I Find Out What is Required for Title Loans?
While many traditional loans will put hopeful borrowers through hoops to get cash, a title loan can be different.
These simple factors are required for title loans:
- Age: A car title loan is a big financial decision, and an applicant must be of legal adult age to apply for one.
- Vehicle: To apply for a car title loan, a borrower must have a vehicle title in their name and a car that has enough equity to qualify.
- Income: While you do not need to have a traditional 9-5 to apply for a title loan, you will need some proof that you can afford a loan payment each month. Disability income and other forms of alternative income can be accepted.
What Documents are Required for Title Loans?
ChoiceCash Title Loans offers an online approval process for your convenience, but some documents are needed to help verify your information and vehicle ownership.
- Proof of Income: Most borrowers will use their bank statements or pay stubs to prove their income, but alternative forms of income can be accepted.
- Car Title: To prove vehicle ownership, the title must be in your name during the time of application.
- Proof of Address: Typically, you’ll be able to use recent utility bills or credit card statements to prove your address. If you do not have either, a rental agreement or voter’s registration can also be used.
- Recent Photos of the Car: Many online title loan options will require an in-person vehicle inspection. With ChoiceCash Title Loans, you can forego the in-person inspection by submitting a few photos of your vehicle!
- Photo ID: A government or state issued ID is required to verify your information. Most future borrowers will use their driver’s license, but other IDs are accepted.
For your convenience, these documents can be submitted online via email or fax with ChoiceCash Title Loans!
What Kind of Vehicle is Required for Title Loans?
For a car title loan, the loan approval and loan amount will be based on the value of the car. To be approved as collateral, a certain amount of equity in a vehicle is required for title loans.
Equity is simply the difference between the market value of the vehicle and how much you owe on it. There are a few factors that will contribute to the current market value of the car, such as:
- The Make, Model, and Style of the Vehicle
- The Year the Vehicle was Made
- The Condition of the Car
- The Mileage on the Vehicle
- Any Modifications Done to the Car
If you are like most applicants, however, you may not know what your car’s equity is offhand. That’s why the experts at ChoiceCash Title Loans created an online title loan calculator! By simply answering a few questions about your vehicle, you can receive a loan estimate and an estimate of your vehicle’s equity.
What is the Approval Process Like for Title Loans?
The approval process for a car title loan can be just as simple as the requirements. The entire approval process has been streamlined by ChoiceCash Title Loans to make your life easier!1
If you have met all that is required for title loans, you can take advantage of the three-step process:
- Submit a Loan Inquiry Online, or Over the Phone: Whether you would like to speak with a representative firsthand or answer the inquiry through the website, it can be fast and hassle-free! Answer a few questions about your car and income to get prequalified for the next step.
- Send in a Few Documents: After your loan inquiry has been submitted, the next step is to let a loan agent reach out to you and ask for a few documents.
- Get Your Cash After Approval: Once your documents have been verified and your information qualifies, the last step is to collect your cash!1 With ChoiceCash Title Loans, qualified borrowers can get their funds in as little as 24 hours.1