Is it Possible to Obtain a Title Loan if I’m Financing a Car?
Suppose you have found yourself in a situation where you need to apply for a loan. In that case, there are many options to choose from. Of all the loan options available to provide this necessity, a car title loan might be your best alternative resource. But if you’re financing a car, you might wonder– “Can I get a title loan on a financed vehicle?”
Although cars are typically paid off when someone inquires about a title loan, those still financing their vehicle could also apply for one. Despite having a financed car, you could still be eligible for an auto title loan! Read below for more information on how to qualify for emergency cash when financing a vehicle.
How Can I Get a Car Title Loan if I’m Financing a Vehicle?
Title loans work by allowing borrowers to use their vehicle title as collateral to secure the loan. The loan amount you could acquire depends on the available equity in your car, not just the number of payments left on it. With a car title loan, a title loan lender uses the equity in your vehicle to determine the cash total you’d receive. Even if you haven’t completely paid off your car, it could still have a good amount of equity to access! As long as your vehicle has enough positive equity, you could be eligible for a title loan on a financed car. It all depends on your unique situation and your vehicle! Every vehicle is different and may qualify differently.
In addition to having the right amount of equity in your vehicle, you must be able to prove your ability to pay off a loan. You don’t need a 9-5 job to qualify for a title loan, but you must be able to afford it one way or another through an approved form of income. Not only that, but you should consider how it could factor into the total amount you would owe. When you’re trying to get a car title loan on a financed car, the remaining amount you owe on the vehicle will apply to the title loan’s principal balance. Remember to keep those numbers in mind!
What if you don’t know your car’s current equity? That’s fine! Different tools, like Kelley Blue Book, can help you find a rough estimate on your vehicle’s available equity. After you obtain it, you can determine if your car’s current equity, among other factors, can help you qualify for a title loan.
Can I Get an Auto Title Loan if I’m Financing a Vehicle with Bad Credit?
People who worry about not qualifying for a title loan because of a financed car could also think that low credit would disrupt their eligibility. Yet, borrowers with a poor credit history could still potentially obtain the cash they need for an emergency! While many loan options require perfect credit, car title loans can be flexible despite your credit status. Auto title loans rely heavily on collateral during the approval process, which can help people with bad credit scores.
Keep in mind that a title loan lender will consider verifying your credit, but don’t sweat it! As long as you have the right collateral and income to repay loans, you could still qualify for emergency funding! Be aware that a credit check may take off some points from your credit, but it could improve with time and effort.
Where Should I Apply for a Title Loan if I Am Financing a Car?
It’s understandable to feel overwhelmed when several title loan options are available. Although there are plenty of choices to choose from, some might not benefit you. However, if you inquire about a title loan serviced by LoanMart, you could get through an online approval process to get your money if you qualify!
You would only have to complete the following steps to find out if you can obtain a title loan:
- Begin a Car Title Loan Inquiry Online or Over the Phone at 855-422-7412
- Submit Required Documents
- Collect Your Money if you Qualilfy!
Contact a title loan agent from LoanMart for more details.
No matter which title loan provider you choose, you must educate yourself about them before acquiring one. As soon as you feel comfortable, you may be ready to get the funds you need for an unexpected bill or expense!