loan options

Title Loans – Why You Should Consider These

Car title loans are generally very costly, but are a fast and easy way to get the money you need. People who opt for this type of loan are usually those who need the money immediately. Some typical emergency expenses are medical bills, last-minute bills, moving expenses and similar. The process of getting a car title loan is usually fast and is done in 15 minutes or less. You pledge your vehicle as collateral, hand title to the lender, and typically you get the money the very same day. However, you almost certainly won’t get the full value of the vehicle in your loan. Lenders will usually give you somewhere between 25 and 50 percent of the car’s value.

source: insurancequotesfast.com

If you’re considering Pembroke Pines as a place to get your loan, there are a few things to keep in mind.

The amount you can expect to get is between $1000 and $5000. Your credit is not checked prior to getting a loan. Maybe you have bad credit, no credit or a bankruptcy on your record – you can still apply and get a title loan. You just need to hand your car title to the lender until the loan is paid back. There are some documents you need to prepare in order to apply for a title loan. Those are: your vehicle clean Florida car title, proof of residence and income, car registration and a valid driver’s license. The only thing the amount of your loan is based on is the equity of your vehicle.

source: insurancequotesfast.com

As is the case with all title loans, Pembroke Pines title loans are short-term loans and are not a long-term solution.
In some states, the lender can repossess your car without warning the day after you default on the loan. In Pembroke Pines, however, the lender will have to wait for 30 days before repossessing your four-wheeler and is required to notify you in advance and give you an opportunity to hand over your car to them.
The lender also has to send you a written notification of the date, time and place where the sale will take place. In case you manage to collect the money and pay before they sell the vehicle, the lender will have to give you the car back.

In some places, lenders can refuse to accept partial payment and can charge you a penalty in case you pay off the title loan early. That is not the case in Pembroke Pines and the rest of Florida. There, the title lenders are required to accept partial payments and are not allowed to charge a penalty in case you pay the loan before the due date. So, when considering title loans Pembroke Pines might be a good place to look.

In some cases, you are allowed to extend repayment. This is called “rolling over” the loan. This means that instead of paying off the loan, you get a new 30-day loan. That is usually a bad idea since now you have to pay new loan fees.

When faced with an unexpected expense, people tend to turn either to payday loans or car title loans. So which is better?
Payday loan lenders give you short-term cash loans for a postdated check that is typically dated for your next payday. Two-week loan term is a standard, and if you fail to pay it off, you can end up with several multiples of your original loan amount.

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A typical title loan term is 30 days, and the interest is usually around 25%. They also have slightly lower interest rates, and the amount of loan is higher. The type of loan you should get depends on your particular situation, and that’s why you should consider all your options before making a choice.

 

Common Mistakes to Avoid so That Your Personal Loan Application is Not Rejected

A Personal Loan is an unsecured loan that can help you solve your current financial needs immediately. Being unsecured, a Personal Loan does not require any security or collateral. You can use the funds availed for any purpose as per your requirement. This credit option can help you cover your travel, home renovation, medical emergency, wedding and other expenses in a short span of time. You do not need to mention the purpose of availing this loan to the lender.

However, you need to be careful while applying for a Personal Loan as tinniest of errors can become a hindrance in the approval. Let’s analyse as to what could be the reasons why Personal Loans are rejected and what are some of the most common mistakes people do which could lead to a rejection.

source: Apnapaisa

Reasons for Personal Loan Rejection

  • Applying for the loan with a low credit score: A simple reason like a low credit score can be enough to have your Personal Loan rejected by the bank. The higher your score, the more chances you have of getting your Personal Loan approved. A score of 700 or above is ideal for a Personal Loan.

 

  • Submitting incomplete documents: Let’s say you are trying to procure an HDFC Personal Loan. You need to submit the necessary documents to avail a Personal Loan from HDFC. If you do not have the complete or right documents, it could lead to the rejection of your loan. You need to read the guidelines carefully and have a checklist ready so that you do not miss out on any important documents.

 

  • Not having a steady source of income: Banks do pay a lot of attention to your ability to repay the loan. This is why they require documents to make sure that you have a steady source of income to pay back your loan on time. If you have changed your job recently or don’t have one, avoid trying to get a Personal Loan. Make sure to add other sources of income as well when applying for the loan like rent receivable, income from freelance or part-time job, and so on.

 

  • Unmatched eligibility criteria: Banks do not just check your income, but also check your age, address, company type, job/profession type, and other parameters to analyse your eligibility for a loan. For example, to Avail a Personal Loan, you need to be at least 21 years of age. Besides that, you need to be in a city where the lender operates in. If you do not fall in the age category or under the location limits, your loan can simply be rejected.

 

  • A large number of applications in a short time: Sometimes, banks may receive an overwhelming number of applications for Personal Loans. For example, when a university receives a large number of applications for the same course which is beyond its seating capacity, it may reject a few applications even if there is no reason to do so. In the same way, the number of applications is another criterion for Personal Loans approval or rejection. Also, if you apply too many times for the same loan, it might turn you into a risky candidate and prove to the bank that you are credit hungry.
source: Dr. Banking

Common mistakes to avoid so that your Personal Loan is not rejected:

  • Applying for a Personal Loan without checking your credit score: Not checking your credit score can easily lead to loan rejection because that is the first thing that banks look for. If you do not have a good credit score, your chances of rejection are quite high. You can improve your credit score and then consider applying again. There is also a chance to try getting a loan from private lenders such as PaydayAvailable.com as they often do not check your credit history.

 

  • Applying too fast: There are many people who tend to avail a Personal Loan based on instant approvals or referrals. It is not wise to immediately apply as soon as you find one without looking at the interest rate and other factors. You must shop around and analyze the rates in the market before applying.

 

  • Applying before reading the guidelines properly: You must read the terms and conditions of the loan carefully before you put your signature on it. Some of the terms may not be favorable to your repayment capacity. Hence you must go through them to make the best choice for yourself.

 

  • Applying for a long-term Personal Loan: People may tend to opt for a longer term, so they do not have as much burden of paying their EMI. However, longer-term comes with more interest rate. Smaller loans will help you get it repaid as quick as possible and reduce your overall loan burden.

 

  • Applying for a loan with no specific purpose: The primary purpose of a Personal Loan is to fulfill a financial need. If you are taking a loan for reasons like vacations and parties, you might regret it, and it will become a burden for you later.

 

  • Applying without checking your eligibility: Different banks have different eligibility criteria. It depends on the age, income, credit score, employment, and location of the borrower. Check your eligibility before applying so your application doesn’t get rejected.
source: Title Junction

For any kind of loan, make sure to follow these tips to ensure that you have a higher approval chance.

The Advantages Of A Title Loan

There are a lot of different lending solutions out there and this can make it hard to decide what to do when you need to take out a loan.  Some of the loan options are highly-debated instruments and this will include title loans.

Most loans receive mixed reactions in the media and from consumers.  The media will often show loans in a negative light. However, title loan customers often state that these loans have saved them from financial ruin. These mixed messages make it harder to determine what you should do and what you should believe about loans. If you are considering a title loan, you should consider both the advantages as well as the disadvantages.

It Is Easy To Qualify For This Type Of Loan

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The title loan application process does not require any credit checks according to TNL Car Title Loans. The only requirement you have to meet for these loans is that you should have a free and clear vehicle title. You also need to have a regular monthly income and state-issued identification.

You Can Apply For The Title Loan Online

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There are hundreds of different lenders who offer this type of loan online which is ideal for a lot of people. In many cases, you will never have to enter a physical location to complete the loan process. Your loan will be handled on your computer and phone without any issues.

Same Day Approval

When you apply for a title loan, you could be approved for the loan on the same day as the application. There are times when you cannot wait for a week or more to get the approval of your loan from a traditional lender. If you are in this situation, this type of loan will be the best solution because of the speed.

The Cash From The Loan Will Be Deposited Into Your Bank Account

Source:banker.az

When you need a loan quickly, getting a direct deposit can be very helpful according to . This is what you get with a title loan so you never have to worry about the money getting to your bank.

You Can Borrow As Much Or As Little As You Need

The amount that you are able to borrow with this loan is determined by the value of your vehicle. If your vehicle is valued at $9000, this will be the maximum amount you are able to borrow. However, you do not have to borrow the full amount if you do not need to.

You Are Using Your Car As Security For The Loan

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While there are many advantages to title loans, there are also disadvantages that you need to know about. The first is the fact that your vehicle is being used as collateral for the loan. This means that if you miss any of the loan repayments, the lender can legally take the vehicle.

Higher Interest Rates Than A Traditional Loan

It is important to note that a title loan will be a short-term loan solution. This means that you are going to be facing higher interest rates when compared to traditional loans. You will often be able to reduce the interest by repaying the loan earlier.

A Lien Is Placed On The Vehicle Title

When you take out this type of loan, the lender will place a lien on the title. This is done with the state motor vehicle administration and will only be removed when the loan is fully repaid. The lien will stop you from taking another loan for the vehicle until you repay the old loan.

A Title Loan Is Only Legal In 30 States

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If you want to get a title loan, you will need to live in one of the states that allow them. There are 30 states that do this. You can apply online for the loan if you do not live in one of these states.

Additional Fees And Interest For Late Payments

Each late installment will increase the balance of your loan. This is due to the additional fees and interest that are charged.