What To Know About Title Loans: Seven Questions To Ask Before Borrowing

At Wisconsin Auto Title Loans, Inc., we understand that title loans can be a convenient way to access emergency cash in the shortest amount of time. However, there are quite a few questions that you would want to find the answers to beforehand, so that you would know exactly what to expect from such a borrowing option.

In this guide from Wisconsin Auto Title Loans, Inc., learn the main things that you might be wondering about, but haven’t yet had time to ask about title loans. Discover how the process works and how you can get approved for emergency cash today.

Seven Title Loan Questions: What You Need To Know

Before borrowing any type of loan, it’s best to understand everything that the loan entails to ensure it fits your financial situation. When facing an emergency, you shouldn’t panic and borrow the first loan you can get approved for. Before applying for our title loans, learn more about the essential information through seven commonly asked questions.

Here are seven questions to ask about title loans before borrowing:

1. What Are Title Loans?

Title loans are short-term loans secured by your vehicle's title. You use a lien-free vehicle title to qualify for the loan, which means your vehicle must be fully paid off to get approved. Only titles from a car, truck, or van can be used for approval.

Typically, you'll have about a month to repay, although terms can vary between lenders. While you’re repaying the loan, the lender will hold onto your title. We place a lien on your vehicle title, but we will remove it once you have fully repaid what you owe.

2. What Are The Eligibility Requirements For Title Loans?

To qualify for a title loan, you must have a few items to verify your identity, age, vehicle ownership, etc. Thankfully, you don’t need a long list of documents like you would for a bank loan.

You can get approved with just a few required items, including:

• A state-issued photo ID that displays your full name and age
• A lien-free vehicle title in your name
• Your vehicle for a quick inspection

You must be at least 18 years old to get approved for a car title loan. You must also have a clear vehicle title in your name. If the vehicle title is in someone else’s name, you must get a title transfer by filling out a few forms and paying a small fee.

3. Will I Get To Keep My Car?

Those who do not know a lot about title loans often assume that you would have to give up your car while repaying the loan, but that’s not true.

A title loan, just as the name suggests, is secured by your vehicle’s title. The lender will hold onto this critical document until you have paid off the amount. In this case, the title serves as a guarantee that you’ll repay what you owe.

If you heavily rely on your car in your day-to-day life, no need to worry. You’ll be able to continue driving your car just as you usually would. Simply ensure that you stick to the payment schedule.

4. Can I Qualify With A Bad Credit Score?

One of the main reasons title loans are so attractive to borrowers is that you don’t need a perfect credit score to qualify.

Getting emergency cash has become more difficult nowadays. Even those with above-average scores can get rejected. As a result, potential borrowers might start believing they have no options, and they could end up working with scammers whose offers always sound too good to be true.

With title loans, everything works differently. You won’t have to worry about not qualifying just because you have a poor credit score. Since the loan is secured by collateral, it’s seen as less risky by the lender; that’s why the professional won’t focus as much on your credit history. The lender’s decision would be mainly based on the value and condition of your car instead of your credit score.

5. Do I Need To Provide Proof Of Income?

As we have already mentioned, the requirements of different lenders can vary. However, if you choose to do business with Wisconsin Auto Title Loans, Inc., you will only need to bring your photo ID, a lien-free title, and your vehicle. We won’t ask for proof of income, and you don’t even have to have a checking account to qualify.

However, make sure the title is in your name and clearly listed. Only titles without any liens can be used to secure a title loan.

6. How Much Can You Borrow With Title Loans?

The maximum amount you can borrow with title loans is $15,000. However, not everyone will be approved for that much, as your vehicle’s value is a significant factor in determining your loan amount.

During an in-person meeting, one of our loan specialists will inspect your vehicle to determine its value. Most professionals use resources like Kelley Blue Book to assess a car’s worth. By the way, you can also get an estimate of your car’s value using the same resource. This tip is helpful for those who need to know how much they can rely on.

The following are some factors that can influence your car’s value:

• Year
• Make and model
• Interior and exterior condition
• Mileage
• Maintenance history
• Modifications

Remember that most lenders typically offer between 25% and 50% of the car’s market value. However, that doesn't mean you should automatically accept the first offer you receive. Only borrow what you truly need for the emergency, and ensure that repaying the loan won’t become a problem for you.

7. How Does The Title Loan Process Work?

The approval process is relatively quick, with most borrowers being approved on the same day they apply. You can initiate the process from home using our online form and receive approval in person in under 30 minutes. We have just a few easy steps you need to complete to finish the process today.

Here are the steps involved in the Wisconsin title loan approval process:

• Submit your essential information through our online title loan form
• Speak to a loan agent on the phone to discuss title loan terms
• Visit the nearest Wisconsin store location with your required items for verification
• Have your vehicle inspected for its value
• If approved, sign the loan agreement to complete the process
• Receive your emergency money later that day or by the next business day

Now that you know the answers to these questions, you can decide if an auto title loan is the best financing option for you. If you feel a title loan can help you, apply online on this website to begin the fast, simple process.

Take Out A Title Loan In Wisconsin – Borrow Up To $15,000 Today!

With Wisconsin Auto Title Loans, Inc., you can qualify for up to $15,000 and receive the money the same or the next business day. The actual in-person process might take just 30 minutes, and get you quick access to funds for financial emergencies.

Start the simple title loan approval process online - submit an online title loan form right now, and you might be able to take care of your emergency in no time. Get approved today for title loans in Wisconsin!

Note: The content provided in this article is only for informational purposes, and you should contact your financial advisor about your specific financial situation.