LOS ANGELES, June 6, 2022 (Newswire.com) - Title loans can provide borrowers with fast funds so they can cover expenses right away, whether they need to pay a medical bill or buy groceries. These loans often come with easy applications, and can give borrowers cash the same day they apply. Here's how title loans work and some of the benefits they offer so borrowers can decide whether this loan option can meet their needs.
How do title loans work?
A title loan is a secured loan that lets the borrower use their car title as collateral. With these loans, borrowers can get a loan amount based on their car's appraised value. If a borrower gets approved for a title loan, the lender will give them funds and temporarily hold onto their title. The borrower can continue driving their car as they repay the loan.
Keep in mind that the lender can repossess the borrower's car to recoup the loss if they default on the loan. So, borrowers should make sure they can repay this loan before applying.
Benefits of title loans
Here are some key benefits of title loans:
Easy application process
Title loans come with quick and easy applications that borrowers can complete in just a few minutes, in store or online from the comfort of home. They'll just need to provide some personal and financial details, like their car's title, proof of income, and a government issued ID.
Once the borrower submits an application, the approval process is very quick. First, the lender will conduct an appraisal of their car to determine how much it's worth. Then, they'll offer the borrower a loan amount worth a percentage of the vehicle's value. If the borrower accepts the loan offer, they can get the cash they need as quickly as that same day or within 24 hours.
Good credit not needed
Many title loans have less strict credit score requirements, so borrowers don't need a good credit score to be eligible for one. Many lenders will consider factors in addition to the borrower's credit score, like income, employment history, and their car's value, when making their approval decision. This means that borrowers with poor or fair credit can still get approved.
Larger loan amounts
Since title loans are secured by the borrower's car title, borrowers can often receive larger loan amount than they would with unsecured loans. Title lenders typically offer a loan amount worth 25 to 50% of the vehicle's value.
Get a title loan today
Advance America offers title loans that are a great option for borrowers who need cash fast. With these loans, borrowers can fill out an easy application online or in store and get approved quickly, depending on the state. Better yet, they don't need good credit to qualify. Borrowers can visit AdvanceAmerica.net to learn more about title loans and start the loan application process today.
Notice: Information provided in this article is for information purposes only. Consult your financial advisor about your financial circumstances.
Source: Advance America