Car Title Loans are the best and quick way to get the cash wanted. In clear words, there is misleading information about these loans. Staying updated will help you in keeping the options open so you can select the financial answer that is right for you. Continue to read and discover the myths that people often hear about title loans.
Learn all About the Common Misconceptions about Title Loans
Auto equity loans are the best financial option to get instant cash for overcoming a financial emergency or if you just want to fund a new endeavor, such as a trip, or clear pending expenses. In addition, to the benefits that auto title loans offer, there still exist different myths about them that keep people from taking benefits of them when they require them.
A few of these misconceptions are caused by a lack of knowledge; some may spread wrong information to make people unaware of the best financial option available. If you want to take complete benefit of all the financial tools present, this is necessary that you get to the truth with your research. Check out some of the myths about title loans you will discover that are not true:
This is basic to come across misconceptions when learning about the business. It happens in every industry, the myths and unknowns can create complications, specifically when you are talking about loan services and other financial conditions. This is why it is necessary to get to the bottom of what’s going to happen when it comes to same-day title loans.
Borrowers need to hand over the keys when taking out title loans
Half true and half false. Previously, title loans were offered by pawnshops. Similar to pawning the diamond ring, and guitar, the borrower had to hand over the car as collateral. In today’s time, people do not need to hand over the keys and pink slips to the lender.
Many lenders will settle only for the car title. As they understand how important it is to have a vehicle for fulfilling daily commuting needs.
It is suggested that you stay away from high-risk lenders. Only choose Money Title Loans that allow you to use the vehicle while repaying the taken loan.
Vehicle Repossession when you default on the loan:
No. At Money Title Loans, we do not repossess the vehicle if they default on the loans. Our facility works the same way as mortgage loans. If you cannot pay timely, the mortgage firm takes possession of the house. Besides, never the priority when choosing Money Title Loans. If a situation like this happens, our skilled loan agents will contact the client and send overdue payment reminders.
If the client cannot pay, we will try to understand the financial difficulties they are presently experiencing and offer them the best advantages. After multiple failed attempts for recovering the payments, title loan agents will proceed to repossess the client’s vehicle.
You are not eligible to get a title loan if you have bad credit ratings
The answer is No. Only traditional banks request and check the FICO score, outstanding debts, and more. In addition, it specifically happens when you try to apply for an installment loan or open a new credit card account. Bad credit ratings will prevent you from doing so. It is the complete opposite when it comes to getting a title loan.
Using the vehicle title as collateral for the loan, you are particularly telling the lender that the vehicle will be theirs if you fail to fulfill the obligations. This is why you can apply for title loans with any sort of credit rating. Furthermore, the higher the equity is accessible in the vehicle, the higher the amount of cash you can borrow.
Have to pay high-interest rates
Depends from lender to lender. This is only correct if you take a massive loan and do not clear it according to the payment guidelines. Moreover, this is necessary that you look at title loans as a short-term emergency fix and repay the loan at the earliest.
Before you apply for the loan, check the lender that won’t charge any prepayment penalties if the loan gets cleared at the earliest. In this manner, the creditor will get the money back and you can counter being captured by high APR loan issues.
Title Loan Lenders Charge the same fees
Maybe right or maybe wrong. Title loan lenders may not offer a good term or the lowest interest rate if you do not ask. Make sure that the competition in this industry is high, so it is known that title loan lenders including Money Title Loans are there to offer the best agreement conditions, rates, and loan amounts. It is easy to get better financing terms with the required amount. Thus, it never complicates things around.
Benefits of a car title loan with Money Title Loans
None of the myths mentioned is associated with title loans offered by Money Title Loans. In addition, we work to serve our clients with the required financial assistance rather than making them wait for days to get approval or reject their applications because of bad credit.
Getting a title loan is no longer a tough task when you are in touch with the right lenders. Stop worrying about financial expenses and get them cleared with instant funds offered by Money Title Loans.
