Should You Get An Auto Title Loan Today?Fast Action Finance
Auto title loans or car title loans are loans that you can get right away by placing the title of your car in as a security point in order to get money as the loan amount. There are a few ways to get money and there are thus a few types of loans you can consider. When you urgently need money, most people apply for loans in banks formally, but that has a lot of paperwork required and other requirements necessary as well. Moreover, it takes time for it to be completed. In situations when you need money quick and easy, car title loans may prove to be beneficial. In taking car title loans, the time frame for application required and the official documentation required are all less than it is expected for other bank loans. With minimal paperwork and little time taken to arrange for it, auto title loans may be your solution for urgent money needs!
Despite high interest rates, it is still an ideal solution
The one problem or disadvantage car title loans may have is the high interest rates they carry. This is present mainly to compensate the money lenders for the risk that they are taking to place trust in your ability to return back the money and pay up the loan amount. Nevertheless, car title loans are still one of the more handy solutions in times of money needs, and this article will tell you how to go about getting one done!
How to get a car title loan
In order to get a car title loan, you first need a clear title. You can apply in for a car title loan only if you are the owner of the entitlement of the car. Even if you have informal mutual consent from another owner to use their car as the title, you cannot take up a loan on behalf of them easily. They have to take up the loan and then hand the money over to you, which also requires some special documentations if you want it to be official.
The money that you get from the loan
You are applying in for a loan to borrow money against the value of your car. So with your car title loan, you can only borrow an amount of money that is equal or less than the amount of money your car’s resale value adds up to. Nothing more than that! So if the car title you are using is of a new car in a good condition, then you will get more money in your loan, compared to using an old car as the title for your loan.
Auto title loans are time efficient
Auto title loans are really very suitable for urgent situations where you quickly need money, for example in times of medical emergencies for your loved ones. Car title loans can be approved almost right away and you can get the money within 24 hours in most cases. One of such quick services is Fast Action Canada, where a phone call can land you a car title loan as quick as anything else!
Car title loans have a very short repayment period. Car title loans are almost always around for periods which are not too long, like from half a month to a month and you are to pay back the debt amount by then. This is why car loans are more for people who need money quick, and those who are able to pay this money back quick via another source as well. It is not possible to get the money quick and then extend the repayment period for a couple of years as car title loans do not basically function that way. If you are intended to do that then you might have to lose your car while you get the loan amount returned.
Avoid the roll over rates
Car title loans carry a high roll over rate. This means that if you don’t repay the amount that you have borrowed within the repayment period that is specified by the lender, then it is carried forward to a new date as a new amount which includes the interest rate. Note that each time you do not pay up, the interest rate, which is high, hikes up the final loan amount you have to return. So, as long as you pay on time, you can avoid this. The interest rate is high, as previously mentioned, because of the large risk involved in giving in a loan without any physical assurance received in return.
But this interest rate varies company by company and lender by lender. Places like Fast Action Canada, not only give you first class service, but also offer lower interest rates, despite the risk involved. Call us now for a free quotation and look at our website to then apply for a car title loan right away! We have the best resale value quotations for cars which would help you in your urgent financial needs any day, any time!