Can People with Bad Credit Inquire About Online Title Loans?
Most people will miss a bill payment at some point in their life. Perhaps you weren’t paying attention to the time of the month, or maybe you couldn’t afford one. Whatever the reasoning behind not paying bills, the result is usually the same a lowered credit score.
Even one missed payment can negatively affect your credit score and stay on your report for years. Pulling yourself out of debt and achieving higher credit can take years of on-time payments and opening multiple accounts. However, not everyone can wait that long before becoming financially stable.
If you need to access money quickly but also suffer from a poor credit score, you can inquire about title loans online! Lenders will run a credit check during the process, but they care much more about how much equity is in your vehicle and if you have a consistent income to repay the loan.
By reading on, you can learn more about applying for online title loans with no credit check. You can inquire about title loans by filling out this pre-approval form or calling to speak with a representative today!
How Do Title Loans Work Without Credit Checks?
Some title loan lenders run credit checks during the inquiry process. However, a borrowers credit history is not the focus of the application process. Title loans work by allowing a person to borrow money off of the available equity in their vehicle. Lenders place a lien on the vehicle title and remove it after repayment.
This loan option can be excellent for people with bad credit scores because your approval is not solely dependent upon them. What matters more is how much equity is in your vehicle and if you have a steady income to pay the loan back. Federal law requires lenders to verify stable incomes, making this an important criterion!
What Are the Requirements for a Title Loan With No Credit Check?
Traditional bank loans require intensive credit checks because they don’t use collateral in exchange for funding. Instead, they use credit to determine a person’s financial responsibility. If your score is too low, this may indicate that you won’t pay the loan back and cause the banks a loss. For a title loan, you do not need excellent credit! Below are the requirements involved in this loan option:
- Be an Adult at Least 18 Years Old
- Have a Qualifying Vehicle Title in Your Name
- Have a Qualifying Vehicle With Some Positive Equity
- Show Proof of a Consistent Income
You must be an adult when applying for an online title loan! You can prove your age and identity with a government-issued photo I.D. You must also have a qualifying vehicle title to move forward with this option. Title loans depend on using car titles as collateral for funding, so this agreement would only work with one.
You must also have a qualifying vehicle with positive equity to apply for a title loan with bad credit. A lender considers car equity when determining approval and loan amount, so your car must have some value to qualify.
Car equity is calculated by subtracting your car’s overall value from the amount you owe on it. The age of a vehicle does not mean it is worthless! The continued popularity of many cars can be attributed to their high demand over the years.
Finally, you must show proof of consistent income to inquire about a title loan. The Federal Government requires lenders to ask an applicant to provide proof of a steady income to protect consumers from predatory lending practices.
How Can I Inquire About a Title Loan With No Credit Check?
You will go through a credit check during your title loan inquiry, but it’s not the main focus of approval! Instead, the steps involved with a title loan inquiry can be simple and convenient. You will need to do the following:
- Fill out an online pre-approval form or call to speak with a title loan agent directly
- Submit the necessary documents via email or fax
- Wait for approval and receive the funding
If you have poor credit, you might have no other options for getting money quickly. However, an excellent opportunity can exist! You can inquire about online car title loans to receive the funds within the same business day as starting.
Don’t let the frustration of an emergency throw your daily life off inquire about title loans today! People with different financial backgrounds may find this option convenient.
