Five Tips That You Must Know Before You Apply For a Title Loan
All of us come across a situation in our lives when we are in a financial crux and need funds immediately. More often than not, this is also, when our friends and relatives, are unable to help. Bank loans are a definite possibility but they can be quite time consuming. This is when the title loans come in handy.
Title loans are nothing but instant loans on your cars which you can avail by pledging your car as the security. Unlike bank loans, these do not take much time or the paperwork to process and hence are quite easy to avail, especially when you need cash urgently. Of course, it means that the interest rates are spiked up which is expected given the risk involved for the lender.
Five Tips That You Need To Know Before You Apply For Title Cash
- It is important that there is no dispute on the ownership of the car against which you are availing the title loan. Without a clear title, you will not be able to avail the title cash against your car.
- The loan can be equivalent of the resale value of the car. So, you can be assured of a higher amount in case your vehicle is a brand new one. The title loan will go low with the car’s depreciating value. So, keep in mind that your loan amount on the title of the car can be a maximum of the resale car value.
- Use these loans only in case of emergencies. These are instant loans that let you have cash within a time span of 24 hours and hence it is best used when you don’t have any other venue and you are in a fix.
- The repayment period for these instant loans are pretty short. It normally ranges anywhere from 15 days to 30 days. Unless you are able to pay by the defined period, there is a chance of losing the title of your car.
- The overall interest rate of these loans is typically higher. And it keeps increasing every time you carry forward the loan or extend it. For instance, if you are unable to pay by the first due date, then the loan might extend for another month with a higher interest rate.
Title cash or title loan is offered by many companies. Make sure that you opt for the most reliable one like Title cash title pawn for your emergency financial crux.