How To Get Cash With A Title Loan In 24 Hours

Sometimes you need cash fast. Maybe you are going through a temporary rough patch or are dealing with some unexpected expense. In those circumstances, many people turn to a title loan. It is estimated that 12 million Americans use title loans per year and that borrowers consider multiple types of personal loans when they need money for a financial emergency

People use title loans because the process is fast and easy and many applicants can qualify with very few documents. But before you consider getting some fast cash, whether at a local store or at an online retailer like TitlePawnOnline, you should understand what you will need as well as some of the potential risks.

 How to Apply For A Same Day Title Loan Approval

With most loans, you get some money now and put up collateral as a guarantee that you will pay the money back with interest sometime later. In the case of title loans, the collateral is your vehicle. If you fail to pay back the loan, the title loan company can repossess your car.

This means that if you want a title pawn loan, you must own your vehicle outright, without any loans or liens. Once you satisfy that condition, you will need to fill out some paperwork and present some forms. These include showing your address, your ID, proof of income which shows that you should be able to pay back the loan, and the car title. The title loan shop will often hold onto the title until you repossess the loan. 

When that process is complete, you will be able to borrow. You can normally borrow up to 25% or 50% of the value of your car. Many borrowers will take out the maximum loan amount offered, but it’s in your best interest to only borrow what you need. The APR and other fees can be high and you should limit the monthly payment to less than a quarter of your monthly budget. You can have the money either deposited directly into your bank or even go directly to the shop to get the cash you can hold.

Things to watch out for with a 24-Hour Title Loan

The title loan process is much faster and simpler compared to a traditional bank loan, and much more suitable if you only need to borrow a few hundred or thousand dollars. But there are things to be careful about when you’re applying to use your car’s pink slip as collateral for a title pawn.

First, the interest rate for title loans is much higher than a typical bank loan. Interest is typically 25% per month which equates to 300% per year. As a result, it is critical to stay on time with payments and to try to pay back the loan early if possible.

However, some title loan companies do not allow early repayment. Furthermore, they might ask for a weekly repayment plan which might be difficult to handle if you go through a rough stretch. Make sure to thoroughly read the fine print when signing off for a title loan. Also, take some time to do some shopping around at multiple title loan shops so that you can get the best deal for yourself. 

These 24-hour loans are great for people who need immediate cash to pay for medical bills or home repairs. However, you should think twice if you’re only borrowing cash to pay for someone that’s not an urgent need. If you do need quick cash to go through rough times, there are alternatives to title loans such as a personal loan or even just relying on credit cards until things get better. But if you believe that you can handle the repayment, a title loan can represent a quick, reliable way to get some cash.

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