Car title loans is a term for the people in the United States to borrow a certain amount of money as the loan by giving their car title to the lender which actually means that in case you fail to return back the money, the lender can sell your car to get the money he owes you. On the other hand, you have plenty of time to return the loan as soon as the loan is returned; your car title is returned to you too. Here are some of the confusions people have about car title loans online;
How much money can I take a loan by giving my car title?
It actually depends on the value of the car as some lenders are known to give as much as 50% of the value of the car. Normally the amount can range from $500-2000 which has a relation with the wholesale rate of the car. The amount which a lender can give also depends on different companies or the condition of your car.
How long do I have to return the money?
Normally you have 30 days to give the money back but again it depends on the lender from whom you want to borrow the money as many companies can offer you to repay the money by small installments per month. You should, however, check the interest rates you will have to pay on the borrowed money
Do these loans work in every country?
It is not necessary that every country offers the facility of car title loans as you will have to check with your country to see if they work in your country by a legal and standard procedure. Normally they are known to be working in the United States. There may be certain people giving a loan on your car but they may not always have legal status.
Do I need a certain proof to show that I can pay the money back?
Yes, in most cases you may have to show some steady income as a proof that you can give the money back and it is better to also borrow an amount which you can repay.
What if I have bad credit?
It is not a problem. Many companies do not even check your credit history and even if they do, for most of the car title loan lenders bad credit is not an issue.