Financial emergencies are sometimes inevitable, but how we handle them makes a big difference. Some people have alternatives to get back on their feet. Others don’t have and can develop anxiety because they don’t have the means to get themselves out of the situation. That is why some group of brilliant individuals came up with title loans.
Title loans are alternative means people can use to get themselves out of a financial situation faster and without a lot of paperwork. Title loans require an asset such as a motorcycle, a car or a truck as collateral. Title loans do not consider a person’s credit history or rating like other loans. They usually take minutes or hours to mature. Amounts that do not exceed $1,000 can even take 10 minutes to approve.
Car title loan is the most common form of the title loans available in most states. To qualify for a car title loan, the borrower must have a car to provide as collateral. Lenders can loan up to 25 percent of the total value of the car. In case the debtor defaults, the lender has the right to possess the car. In this case, the title of the car must be in the custody of the lender. A borrower can either pay the loan after one month or through an installment plan for at most two years.
Individuals that offer title loans in Brownfields have effective online platforms that allow people to make applications at their convenience. You will be required to fill out an application form available on their website. You have to give out all the information about the vehicle such as its mileage, the year of manufacture and the registration details. You may also be required to leave your contact details and home address. Once you complete the application process, the lender will send one of his representatives to evaluate your car and make a loan estimate.
There is a legal framework put in place by relevant authorities to guide car title loans in Brownfields. Most of these regulations target lenders to prevent them from exploiting unsuspecting and vulnerable clients. A lender must obtain a business license from the relevant authorities in order to operate a title loan shop in Brownfields. Lenders should not charge more than 3.5 percent interest on loans that do not exceed $300. However, the laws allow lenders to have full ownership of the collateral right away in case the debtor is unable to service the loan. Debtors must be at least 21 years old and be the rightful owners of the car. These regulations are also applicable for title loans in Baton Rouge and other parts of Louisiana.
A title loan is the quickest means of getting cash in emergency situations. The application process is easy. Once you have submitted the form, you can get the loan in minutes or hours. You can qualify for a title loan even if you have a bad credit history because it is based on collateral. A title loan is also one of the most convenient online secured loans. You can still use the car if you have a car title loan. The lender takes the title of the car as collateral but does not take full ownership unless you fail to repay the loan as agreed. Title loans are cheaper than cash advances because they have a layer protection. This means that they do not have to charge higher interests like cash advances. Above all, title loans help you to get rid of stress when things get out of hand financially.