How Much Money Can You Get From A Car Title Loan?


Are you looking for a way to get some instant cash? Have you thought of all your options, and is a car title loan the choice you are leaning towards? If you are considering a car title loan, one question you might have is how much money you can get if you take one. To find out for sure, you would need to contact a lender, but here are some factors that affect the answer to this question.

Do You Own the Car Outright?

The first thing to consider is your ownership rights of the car. Do you own it outright? If you own it outright, it means you do not have a loan on the car. You will have the title in hand in this case. If you have the title, you are eligible for a title loan. If you do not have the title, you might not qualify for one. Most lenders require the title for a loan like this. You could still ask the bank if they would offer you a loan if you do not have it, but they may say no.

How Much Is Your Car Worth?

The second thing to understand is that the value of the car plays a huge role in the amount you get. If you have a car that you own, you can get the loan. The amount, though, depends on the value of your vehicle.

Lenders that issues car title loans usually base loan amounts on the values of vehicles. They will not loan out more than a car is worth, and typically, they only offer a loan for a certain percentage of the car's value. The percentage varies, but it might be 50% or more. It just depends.

What Else Should You Know Before Getting One?

Before you get a car title loan, there are several things to know:

  1. The car is the collateral in the deal — If you do not repay the loan, they may take your car away.
  2. You should not be surprised if they require installing a GPS in the car. They do this to locate the vehicle, but they will only do this if you default on the payments.
  3. You will get the title back to the car. Once you make the last payment, you get the title back.

You should also ask about the terms and fees of the loan before you get one. If you have further questions, contact a lender that offers auto title loans.


4 March 2020

Borrowing What You Need

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