A financial crisis can occur at any time and may hit a person’s life badly. At such times, everyone looks for various options available that can help them financially. But it is extremely tough to get approval from major banks and traditional lenders. Their requirements for approving a loan are strict and tough to meet instantly.
Have you checked your credit score recently? In which category does it fall? If you have no credit history or finding it hard to maintain it, getting a loan from these sources is not possible.
Here comes the concept of title loans that allow you to borrow against your car. This is a secured loan and is the best option for those who find it hard to get quick money. It is also a great option for those who are struggling to get their financial situation back on track.
What Is Meant By Car Title Loan?
A vehicle title loan means the same as the name indicates and you can borrow on your car. You get the money against the value of your vehicle such as a car, a truck, etc. These loans are quite easy to obtain and lending institutions approve them easily.
They do not check your credit or financial history to approve your loan application. You will be using your vehicle as collateral and the title papers are used as security. It takes a few minutes to pre-qualify you for the loan and within the same day, you can get a disbursal of money.
How Do Car Title Loans Work?
Through car title loans you can borrow against your car and thus, your vehicle must have the required equity value. You can borrow ranging from $100 to $50,000 from this loan if your vehicle has that much equity value to qualify for a loan.
The process of taking a loan is quite simple and you can get the loan within a few steps. You have to apply for a loan by any of the methods available in the market. You can visit the office of the lending institutions and proceed from there. You can directly contact the lender and give them a brief of your requirements. Or you can apply online from the comfort of your home by visiting the website and fill out the application form available there.
What Is A Lien?
A lien is a document that states the borrower agrees to use his/her vehicle as collateral and other terms and conditions. This paper allows the lender to possess or sell the vehicle if the borrower defaults or does not pay the loan amount within a defined timeline. It is a kind of security that lets the lending institution trust you and give you the required funds.
What Is Required For A Car Title Loan?
Well, getting approval for a collateral loan is easier than any unsecured loan. The paperwork of this type of loan is less and simple. Here are few requirements that you need to meet to borrow against your car:
- Your vehicle should not be older than ten years
- Your vehicle must be registered and fully paid for in your name
- Your vehicle should be fully insured before being used as collateral
- There should be no debt taken on the vehicle which is pending
- You must have a valid Canadian driver’s license
- You must have proof of your permanent residency
- You must have legal age proof as per your province
What Are The Benefits Of Getting Money Using This Loan?
This type of financing offers you several benefits that you cannot ignore. Some of them are as below:
- With this loan, you can get approval within fifteen minutes.
- You can also get funds on the same day as applying for this loan.
- The process of this loan is hassle-free and you can conveniently get approval.
- You will get a sufficient loan period to pay back the loan amount.
- You can get the loan amount up to the equity value of your vehicle.
- You do not have to keep your vehicle with us. You are free to use it as before.
- You will get the loan at competitive and industry-best interest rates.
- Your credit score and employment details do not affect your chances of getting approval.
Car Title Loans – A great way to get money
If you need a quick loan and have been facing rejections from major banks and other lenders, then car title loans are the best solution for you. Title loans are easy to pay off as the time period is given enough and monthly instalments are quite low. This is a great option when one’s income is tight or is looking for better opportunities. This helps you deal with emergency situations or financial problems immediately.
If you are interested to collect more information or want to start the process, you can get in touch with a reliable lending institution such as Canada Car Cash. Thus, stop struggling and borrow your car to get rid of all financial troubles.
