Wednesday, 29 May 2013

The Car Title Loan; a Line of Credit you didn't Know Existed

The Car Title Loan; a Line of Credit you Didn’t Know you Had
Nearly everyone budgets their money and tries to plan for the unexpected, but sometimes that can nearly be impossible. Everyone knows the value of setting aside money in case of an emergency, but not everyone has the extra cash to do so. With many Americans living from paycheck to paycheck, something as minor as missing a day or two because you’re ill can mean the rent doesn’t get paid on time. What happens when you have an unexpected car repair for example? Some people draw from savings while others just pull out the credit card or take a line of credit out on their home. What do you do if those choices are not available to you? You get a title loan.
The Line of Credit you Never Knew you Had
Most people have at least one car in their possession. If that’s you, there is your bridge to cash. When you use the equity in your car as cash it’s called a title loan. All you need is a car with a free title, government or state issued I.D. like your driver’s license, and proof of income, and you’re good to go. Title loan companies know your credit is probably not the best. If you had good credit you wouldn’t be talking to them. You would probably be at your local bank or opening a new credit card. They also know you are usually in a crisis and need the money yesterday. For that reason the loan process has been streamlined so that in most cases you can get your money in as little as 30 minutes!
Some problems are just too big for a payday advance loan. When you need thousands, not hundreds it’s the title loan that’s going to come to your rescue. You don’t even have to have a job, just some form of income like retirement, disability, unemployment insurance, anything where you can show you have an income. With a title loan you still get to keep driving your car. When you have paid off your loan you get your title back. It’s that simple.
Here’s how it Works
If you’ve never heard of a title loan you probably don’t know how easy and quick the process is. Here’s how it works.
  • Step One: Go to your local title loan company with your car and a lien free title. If you have paid your car in full there will not be a lienholder on title, just you.
  • Step Two: A representative from the title company will appraise your vehicle and determine its worth, while you fill out an easy quick application.
  • Step Three: Dependent on your need and the appraised value of your car, the title company will figure out the amount they will be able to loan you.
  • Step Four: When your application is approved, you will get your cash and you drive away in your car, usually within thirty minutes.
  • Step Five: As soon as you pay off your loan, your title is returned to you.
You can’t find an easier, quicker, more assured way of getting emergency cash that getting a car title loan.
How Much Money Can I Receive?
And of course the question everyone wants to know, how much money can I get from a title loan. The amount you can receive depends on the value of your free and clear car, the amount of your need, and above all, your states laws. Some states will not allow you to get more than $2,500, while others go as high as $10,000 or more. The best thing to do is to call your local title loan office and inquire as to your states laws when it comes to title loans.
Don’t forget, when you have unexpected expenses, the title loan can be the difference in making your mortgage payment on time, and a foreclosure notice. Call today.
Carson Little is a professional blogger that provides advice and information for auto title loans. She writes for Titlebucks, the best store for title loans and title pawns.