Car title loans are easy-to-get loans that are accessible to consumers over the age of 18. You can apply for one if you own your car outright and are willing to put it up as collateral. Title loans are a good choice for situations that call for fast cash. If they’re wondering what’s required to get car title loans, San Diego vehicle owners should keep reading.
What Are Car Title Loans?
A car title loan is a short-term loan from a lender who is willing to hold the title of your car in exchange for a loan. You’ll be required to own your car outright to be eligible, which means you must have the title in hand, and you usually cannot owe anyone—including a bank—money for the car. The lender will hold the title during the time the loan is out and can repossess the vehicle if payment isn’t made on time.
Do You Need Proof of Income?
Since your vehicle is the collateral for the loan, some companies might not require you to show a steady source of income to receive the loan. Many lenders don’t perform background or credit checks, either. However, all borrowers are required to repay their loans on time to retain possession of their cars. Even if no proof of income is required, you need to make sure you can make the loan payment with interest if you don’t want to lose your car.
What Are the Requirements?
You may be asked to bring in your title if you head to a brick-and-mortar loan company. The requirements are usually the same for an online lender—they’ll need the title as collateral for the loan. You must be in possession of the vehicle at the time of the agreement, and you must own the vehicle yourself. You’ll be required to show proof of registration and insurance. You must also be 18 years old to sign the contract and have a government-issued ID that matches the name on the title.
What Happens if I Can’t Repay the Loan?
Most lenders offer a 30-day loan period, although this could vary depending on the company. If you cannot repay your title loan when it’s due, speak to a representative right away. Most car title lenders will allow you to roll over your loan period for another 30 days. If you choose this option, you’ll be responsible for additional fees and possible penalties. If you repeatedly default on the loan, the lender has the legal right to take possession of your vehicle and sell it to get his or her money back.
When I need a convenient, easy way to get quick cash, I search for a reputable company that offers loans near me. San Diego residents who own cars and want high-quality service can count on the trustworthy folks at Payless Car Title Loan. Our loan approval process is easy, and you’ll find the highest levels of professionalism when you work with our team. Call us today at 619-600-0061 to find out how we can help.