8 Advantages of Auto Title Loans
If you are a small-business entrepreneur with a restricted budget and desire to invest some funds for the expansion project, then you can gain reasonable help from an auto title loan. This loan type has to offer you viable solutions. This is a secured loan that allows borrowers to make use of their vehicle titles as collateral. There are different ways to handle different kinds of debts. If your money problems are caused by student debt, you should consider following the student loans settlement program.
If you own a good condition car with authentic and complete title documentation, then you can feasibly take a loan by surrendering the hard copy of your car title. This loan is beneficial in the following ways:
#1: Instant Cash
With auto title loans, it is easy for borrowers to acquire quick cash. So if you are in dire need of finance, you must prefer a title loan. The application process is incredibly easy, and you can instantly obtain cash in no time. Your application won’t go long for three to four weeks, unlike the unsecured lending process. You just have to fill in the form and confirm which car you own. No comprehensive documentation is required. Your lender will process your application on the day you filled and submitted a form/request.
#2: Easy Qualification
If you are wondering what the qualification process for a title loan is, then don’t you worry! It is super easy for you to qualify for a title loan. There is no complicated qualification process associated. Perhaps, you can be conveniently approved for a loan on the exact date you request for it. All you need is a free and clear auto title, monthly income statement, and state-issued identification. Then, you are good to go!
#3: No Credit Score Required
Understandably, a credit scorecard is the prerequisite for many loans. But fortunately, that’s not the case with an auto title loan. You can apply for a title loan regardless of your credit scorecard rating. Under this loan, you don’t need a good credit score or guarantor on your behalf. As long as you own a car, it can make a reasonable assurance for your loan.
#4: No Car Required
No car required means you are free to use your vehicle. There is a general misconception that under the umbrella of an auto title loan, a borrower will not be able to drive his car. This is totally incorrect. You can conveniently use your vehicle without any loan policy or legal issue. Your vehicle is only used as collateral. It means if you happen to fail with loan repayment, the lender will take its possession. As long as you are making the monthly payments, you don’t have to worry about anything.
#5: Minimum Processing Time
Since under this loan, it is easy for you to qualify and acquire instant cash, the processing time is also very less. Your application won’t have to go through a long haul of procedural requirements. Make sure you have valid and complete documentation for your car, then it would be easy for you to get your loan within an hour.
#6: Cost-Effective Process
You may be pleased to know that an auto title loan is relatively cheaper than cash advances and other types of loans. Since your car is used as collateral, your lender gets to enjoy an extra layer of protection, and that further allows you to negotiate better. As a result, you can obtain a loan at a quite low-interest rate. It makes your loan less expensive as compared to cash advances.
#7: Relaxed Payback Options
Other than low-interest rate, a convenient payment schedule is desired most by the borrowers. With an auto title loan, a feasible payback option can be stress-free for you while making monthly payments. You get to understand the schedule upfront so you will have an idea when to repay the loan.
Interestingly, you can also avail of multiple installments plans. This means you will be in a better position to pay back the loan without any burden.
#8: Above All, Eliminate Stress
Understandably, life can get hard for some people. Some individuals are capable enough to cope with a bad situation, and some overly stress about it. If you are going through hardships like financial instability, then taking advantage of title loans can support you getting back on your feet. You get to avail quick cash at reasonable rates, and you get to benefit from convenient payback options. This allows you to get rid of an unnecessary burden as soon as possible.