The Benefits of Taking Out a Title Loan
Unforeseen financial emergencies can creep up when you least expect it. When in need of money in a pinch, you can usually turn to a title loan for fast funding and advantageous benefits.
Unlike other types of loans out there, title loans can offer borrowers unmatched benefits. Take a look at what title loans could offer you and take care of that bill that’s been hovering over your head.
Good credit not required
When it comes to applying for a loan, typically credit plays a crucial role. Credit is often used as a basis for qualification for unsecured loans. Most lenders prefer doing business with individuals who have a track record of successfully managing their finances, so if you haven’t been doing just that, you may have a harder time acquiring funds.
But title loans are secured loans, meaning they require collateral in the form of a qualifying car title with your name on it. This lowers the lending risk for lenders and may allow for more people to qualify for lending.
Fast inquiry process
When you need to repair your car after an accident or pay a costly medical bill, there’s no time to waste! Banks could take up to a week to approve you for a loan. If you need funds in as little as one business day, title loans could be the perfect solution.
It’s possible that applying for a title loan and receiving your approved funds could happen all in one day!
Flexible payment schedule
Another fast lending option is a payday loan, but unless you could come up with the full loan amount plus fees within two weeks, it is probably best to look elsewhere. Payday loans are meant to be repaid by the borrower’s next payday, and other loans usually only offer borrows up to a few months to repay.
Title loans offer borrowers plenty of time to repay. With terms ranging from a month to a few years, the choice is usually yours! Talk to a title loan lender to determine the time frame you need for repayment.
Overall, title loans offer borrowers plenty of desirable benefits. But one downside to keep in mind is that interest rates can get pretty high, so make sure to compare offers before deciding to work with a lender.
This is a collaborative article.
The News Wheel is a digital auto magazine providing readers with a fresh perspective on the latest car news. We’re located in the heart of America (Dayton, Ohio) and our goal is to deliver an entertaining and informative perspective on what’s trending in the automotive world. See more articles from The News Wheel.