How a Car Title Loan Program Works
Car title loans have developed a bad reputation, although in many cases this is simply from people being uninformed and they are in fact reliable and safe. These loans have also grown in popularity as more and more people have discovered the convenience, speed and flexibility of these loan types, especially compared to many other loan alternatives. Before you decide on a car title loan, it is important to understand how it works.
The Ins and Outs of Car Title Loans
Using your car as collateral, car title loans are secured and safe. When you sign all your paperwork, the lending company will take over the lien of the vehicle and it will remain with them for the duration of the loan. When you have completed your repayment, the lien will come back to you. You can continue to drive your car despite the handing over the lien. Because of the fact that it is a collateral loan, there is less risk to than lender and they are able to offer conditions that are more flexible. Another benefit of there being less risk to the lender is that the lender does not require a credit check as part of the approval process and this means that all applicants, whether with good credit or bad credit can apply for the loan. Another result of the loan using your vehicle as collateral is that the loan amount is worked out according to the market value of the vehicle. This can be worked out in a short period of time, speeding up the application process.
How to Apply and Get the Loan
The loan application process for car title loans is fast and uncomplicated. As mentioned above there is no credit check required and there is also no background check performed. Customer support is available 24/7 and applicants can apply via the online form or over the phone. With just some basic information about you and your vehicle you may be presented with an initial loan offer. This can be negotiated, along with the conditions of the loan, when you go to the offices to hand over your paperwork. If you have everything you need with you and everything is valid you will be able to sign the paperwork immediately and may be able to get the loan in as little as one hour. Get the cash and drive away in your own car – it could not be simpler.