What are the positives of a car title loan?Posted by Malini Somra on January 7th, 2019 Common people are mostly afraid of getting into debts as they consider being a great threat to their future financial situation. Debt can be bad or good it all depends on what kind of deal one makes. In order to get affordable loan interest rate and flexible repayment structure, one must gather a good amount of knowledge related to the loan process and its structure. Amidst the number of loan processes available in the market today, people look for the options which can offer them instant access to cash in order to deal with emergency situations. Traditional loan process which includes bank and credit unions have a complex as well as time-consuming process and therefore, car title loan Fresno is getting popularity among borrowers. With title loan one can get a maximum of ,000 depending on the significance of their vehicle. Make, made, year of manufacture and condition of the vehicle are some of the crucial factors which manipulate the value of the vehicle in the marketplace and therefore, the amount of loan. Car title loan can be a great savior for people in a cash crunch with bad credit score. Here are some of the positive features of car title loan which makes it best available solution.
Title loan has gained its popularity because of the simple and straight-forward loan structure. Unlike most of the loan process, title loan doesn’t have higher qualifying criteria or demands. Any individual who owns a vehicle completely and has a clear and lien free vehicle title is eligible to apply for title loan process irrespective of their financial condition. The simple structure of loan makes it easier to process out and the complete process from start to end can be completed within a few minutes.
Title loan is considered to be a non-demanding loan process and therefore it requires minimal documents for the processing. A borrower needs to provide lender with certain set of documents which include original car title, a photocopy of car insurance paper, proof of regular income source and photo identity proof. In addition, the lender doesn’t determine the credit score of the borrower which is said to be the most important criteria to qualify for most of the financial activities. Presence of collateral reduces the need of credit score check making it easier for every individual to get through it.
Along with easy loan process, title loan lender also concentrate on designing the most flexible and affordable repayment structure. The repayment structure is designed by a representative of the lending company after interacting with borrower and getting to know about their current financial condition.
The title loan only uses the vehicle title as collateral and therefore, they are not allowed to physically possess the vehicle until the case of loan default. None of the licensed lenders physically possess the vehicle rather they only held borrower’s vehicle title with a lien placed on it. The borrower is free to use the vehicle while making monthly payments. Like it? Share it! More by this author |