Cars are one of our most prized possessions, but while facing financial troubles, it can be a valuable source to raise funds through availing title loans. Title loans are a short-term loan which is sanctioned by lenders against a collateral arrangement of transferring the title of your asset (usually a personal vehicle) in the name of the lender for the period of the loan. If you are on a lookout for some quick money to meet up your liabilities before the next payday, apply now for a title loan. Unless it’s not very urgent, consider less expensive options like consumer loan, cash advances or credit cards because the interest rates of title loans are comparatively high. You can get further financial planning advise at www.moneyadviceservice.org.uk.
There are some documentation requirements needed to avail a title loan. You need to submit a copy of a state-issued identification document like passport, personal ID, driving license along with your social security number. To prove your residency rights in the country where the transaction is taking place, you need to submit address verification documents like a phone bill, electricity bill, document attested by the landlord etc. Although the primary consideration in title loan is the collateral, to ensure your credibility to make the payment on the due date, the lender may ask for few months’ pay slips, tax records, bank statement etc. For business owners, you may have to share business financial plan, and for the retired individual, you need to submit your pension account statement. To avoid any fraud or default from the borrower’s end, you may be asked to give three to four references who can be contacted if needed.
The asset transferred as collateral security is your car. Therefore, all its records should be in place. Vehicle registration will verify your ownership and the insurance policy will confirm your financial cover and liability for any damage caused during the loan period. In case your vehicle has been under any previous loan, then you also must share the documents confirming its release of the prior lender to avoid any legal problems with the current lender. You can get a loan for up to 90 days with the amount ranging between 150$ to 50000$. Some lenders may demand a photo of the vehicle or extra set of keys. Usually, vehicles accepted for title loan include cars, motorcycles, motor homes, trailers, on-road vehicles and private yacht or boat. Vehicles which might not be taken as collateral are buses, golf carts, dump trucks, electric carts, semis etc.
The benefits of opting for these title loans are that:
· The approval process is smooth, fast and easy. Just by submitting certain verification documents, your loan gets approved within no time, unlike other modes which may take quite some time.
· Credit history does not matter. Since the lender is financially safe because of security provided in exchange, they would not bother to check your past credit records.
· The best part is you can still use your vehicle. Only the ownership gets pledged on a temporary basis which is also taken back once the loan is paid back
· The repayment procedure is very convenient and flexible.