There are dozens of different kinds of loans out there. From credit cards to bank loans, people with good credit have dozens and dozens of options to get a little extra cash between paychecks to help put food on the table, make a large purchase, or pay bills before the cash hits their bank account.
But what about the people that don’t have great credit? Where do you turn when you don’t qualify for the credit cards or bank loans?
For car owners, you may want to turn to auto title loans.
Think of title loans in Balch Springs like a pawn where the title of your automobile is the collateral. When you enter into a title loan agreement, you’re giving your creditor the ability to hold on to your title while you make payments to cover the price of the loan plus interest.
As long as you are making payments on your title loan, you are working back the ability to completely own your car. Once you have met the agreements of the title loan, your title will be returned to you.
The application process for a title loan in Dallas is easy. Because the process acts more like a pawn than a standard loan, all you need to do is outline the details of the car. Things like the make, model, year, and mileage of the car will be used to determine the overall value of the vehicle and thus, how much you can expect to receive based on the title loan estimate.
Once your application is submitted, you will be given an estimate for your loan. This estimate is determined based on the overall value of your car. In most cases, this loan amount will be about one-fourth of the vehicle’s value. Remember, while this estimate tells you how much money you could receive in cash, you will need to pay this amount plus interest.
A loan representative will contact you to discuss the details of your title loan. They can answer your questions, walk you through the title loan process, and help you determine if it is the right move for you.
Title loans in Dallas can seem like a great thing, and when they’re used correctly, they can be. But as with any loan, you don’t want to enter into a title loan agreement that you can’t realistically follow through with.
Tf you begin to fall behind on your payments, you could put your car at risk for being repossessed. Defaulting on a title loan gives your creditor the ability to repossesses your car and sell it in order to cover the debt you’ve acquired, even if your car is worth more than the value of the loan.
Be smart about the title loans you agree to. For quick cash without the need to check your credit or previous financial history, a title loan can help just about anyone stay on top of their finances.
A title loan can be a great blessing for someone who is in between sums of cash or paychecks. Because most title loans are short term agreements, taking a loan out on the title of your car gives you the cash you need now while you wait for a paymeA title loan can also be a wonderful thing for someone needing to make a payment to stay in their house or put food on their table. If you’re short on cash and own an automobile, consider what a car title loan can do for you.