A car title loan is a loan that allows you to borrow money against the equity that you have built in your car. The loan can be made on a qualifying car, truck, van or SUV and even some small commercial vehicles. These loans are sometimes called "pink slip loans" or "car equity loans" but they are all the same. To qualify you must have a vehicle that is paid off or close to being paid off. The vehicle has to have enough value and equity to qualify for the loan. These loans are typically easier to get than a traditional bank loan because the equity in your vehicle is given top priority in qualifying. State law does require that the lender verify that you have enough income to repay the loan. Check the income sources below to see some of the types of income that can usually be used.
There are 4 basic requirements that are needed for all of our title loans:
Absolutely not! That is one of the great things about a title loan. You will be able to keep your car to drive as normal while you make your loan payments. The lender will simply need to be added as a leinholder on the title. This helps make sure that you don't sell the vehicle before paying your loan off.
The exact documentation will depend on your individual circumstances but typically you will need the following:
Your income can come from nearly anywhere. Some of the typical sources considered are:
Different states have different requirements for repaying a title loan. Your loan officer will work with you to come up with the best repayment plan for your situation. You can also repay your loan early with no penalty.