If you currently have bad credit and are in need of quick cash you might already have the answer to your prayers in your hands. If you currently have the title to your automobile in your hands you could be eligible for a car title loan. This article will explain to you how this can be accomplished.
What Is An Auto Title Loan
An auto title loan is a loan that can be obtained by a person who has bad credit and is willing to use his or her car as collateral. This will allow the borrower to borrow and amount of money that is based on the value of the vehicle being used as collateral.
How Does This Loan Work
The trick to obtaining an auto title loan is that you will need to have the title in your hand showing that you own the vehicle and there is not another loan on it. Your car will need to be paid in full with nothing else owed on it and the title is clear. Once you obtain the auto title loan the debt will be secured and held by the title. If you do not pay the loan back in full the vehicle will be repossessed and will become the property of the lender.
What Is Required
Obtaining an auto title loan is pretty simple as long as you have the title to the vehicle. However some lenders might also do a credit check and will require proof of your income. Not all lenders will do this due to the fact that the automobile is serving as collateral and they are protected against losing the money. Continue reading